Call of Duty will undoubtedly carry on its legacy in the upcoming consoles too but it seems that the latest rumor from Official XBOX Magazine says that the studio could be planning on using the Unreal Engine 4 which was recently showcased at GDC 2012 to be more optimized and easier to work with could be the next engine used by developers for the next Call of Duty game on the next generation of consoles, while this is still a rumor it does seem plausible considering that the next generation consoles (except the Wii-U) could still be prepped for the Unreal Engine 4.
According to OXM (all of the below is taken from the Source):
Infinity Ward also has an eye out for a technical visual effects artist "to help raise the bar for visual effects on current and next generation hardware". Said artist will "focus on large complex destruction sequence simulations and making worlds that are more alive, animated and interactive." How very Frostbitey of you, Modern Warfare. Among the latter's focal areas are "wildlife", "animated environment elements like blowing cloth, foliage" and "destructibles".
This can only mean that the studio is looking to work with a newer engine for the next generation hardware (i.e next generation consoles) so that must mean that the rumor should be more or less true considering that the studio will have to up their graphics to appeal to the games who want gorgeous graphics in the next generation consoles.
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