After I received Project Update #30 I felt I needed to come here and post my opinion. Most notably due to the remark that there was not many places to go after the first game. I find this to be rather limited in thinking. While I am not promoting a "Terror from the Deep" scenario, there are places to go after defeating the alien invasion story and game-wise.
Imagine if you will...
The first Alien war is over. The Xenonauts have successfully repelled the alien invasion and Earth is safe once more, but the world has changed. In the aftermath of the invasion countries now have alien inspired tech and resources. The world moves forward into a new era of development with this new technology. Though unable to replicate the Alloys or Alenium, there is enough supply that new tech is supplied to the civilian sector. New power sources are brought online and fossil fuels run out. The peoples of the world become dependent now on the alien tech that brought them destruction at the hands of the aliens. Alas, though plentiful, supplies are limited. The Xenonauts are now tasked with using this alien technology to go beyond Earth, to go beyond our solar system and locate and find more resources before Earth's dependency on alien materials causes it to wither and decay.
Moon bases and the colonization of Mars begins in earnest, stepping stones to the grand plan. From here the Xenonauts spread out to the galaxy searching for the right resources needed to keep Earth alive and well. Outposts are built outside our solar system, even the beginnings of colonization of other worlds. The Xenonauts had reached its golden age and funding was near unlimited, but nothing lasts forever, not even Alenium.
The rare power source is overused and suddenly begins to run out. The only short supply left is in the hands of governments and the Xenonauts. Citizens begin to rebel as the world collapses and runs out of power Countries fall into chaos and governments begin to blame the Xenonauts for their lack of progress. Funding is cut short which slows progress even further and the world begins to collapse. The Xenonauts lose connection with their ships and outposts beyond Earth. Without supplies from Earth, Mars becomes a barren wasteland once more and all contact with the colonies beyond Earth is lost. The second Dark Age has descended.
But beyond the veil of darkness, the Xenonauts have succeeded in their mission. A source of Alenium and Alloy is discovered and quickly they begin to extract the materials for the return trip home. Unfortunately for them, their mining efforts do not go unnoticed. Alien ships of unknown origin begin to decimate the Xenonaut forces. With superior technology, the aliens nearly wipe out the Xenonauts except for one ship that flees back to Earth to warn them. Something was coming.
And with that flight, they have lead the enemy straight back to a devastated Earth. The last and only force capable of fighting off this new invasion is the now skeleton crew of Xenonauts...
Ok so the point is, there IS a place that a sequel could go and its not limited. It does not have to be a direct sequel after the first or on an Earth we see today, using tech from before the fall (ie Xenonauts 2) against an enemy far more powerful than the last alien invasion. The distance to Earth is the reason the invasion starts out slow at first as supply lines are stretched. Or even set the invasion in space (aka Interceptor story-wise). There is room for more Xenonauts beyond just rehashing the same invasion again and again. Sure the same mechanics could be used in a new game but the story itself could change and by doing so change the feel of the game itself not just in game play but context itself.
I'm not a developer or game builder. I do not know what goes into game design, but I know a story will give any game potential. There is, in my opinion, so much more that could be done with a game of this sort. All you need is a good story and you have a point at which to start.