The new dev diary for Alan Wake's American Nightmare sheds a whole lotta light, no pun intended, on the storyline of the forthcoming XBLA title. The entire game will be reality-bendingly set in an episode of the Night Springs TV show featured in the first game, of which Alan Wake himself is a writer.

Here, like they've done before, the trio of guys from Remedy talk about all the different things that were going through their collective heads when they were putting the game together. They mention The Twilight Zone (which Night Springs is partially based upon), B-movies, and pulp fiction and sci-fi stories. We already knew that it was going to be more action-y, and you can see where this is all going. And it's looking pretty damn good so far, especially for an Arcade title.

Also, if you keep your eyes peeled you'll spot the actor whom Alan Wake is modelled after switched out with one of the devs briefly in the video, plus some weird crap going on in the background towards the end. Not sure what the hell's going on there.

Alan Wake's American Nightmare will be available for download on Xbox Live Arcade on February 22nd for 1200 MSP.

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