Treasure began the 2000s with some early troubles. "Gun Beat", a racing game they were developing for Sega's NAOMI arcade platform, was canceled with little explanation. Also, "" (2000) and "Stretch Panic" (2001) for the PlayStation 2 were both critically panned. Despite these hiccups, Treasure did find success with "Sin and Punishment" (2000), a rail shooter co-developed with Nintendo for the Nintendo 64 and later released on the iQue in China. The game was not released in western territories but grew a cult following among import gamers. While "Sin and Punishment" was still in development, Treasure started development on a spiritual sequel to "Radiant Silvergun" titled "Ikaruga" (2001). The arcade shooter was co-developed with G.rev, and ported to the Dreamcast and saw a worldwide release on the GameCube.