Red Steel wasn't bad, per se, just horribly done. It was filed with potential, with most of it either not materializing or being executed in a poor fashion.
My biggest gripe was the fact that if you got the bad ending, you couldn't go back to your save and try to get the good ending. The game saved the closing credits on your file, forcing you to play the game all over again just to get the other ending. Talk about a tedious pain in the ass.
I would like to see them do RS2 better, but I don't have much hope. We'll just have to wait, I suppose.