Lionhead's Peter Molyneux announced at GamesCom that Fable II will be getting re-released over Xbox Live in an episodic format.

Dubbed Fable II: Game Episodes, the content will be released on September 29th. In a savvy move, Microsoft is making the first episode available for free.

It will be served up in five chunks, which will be compatible with Knothole Island and See the Future, the Fable II DLC that's already available over Live.

“With the launch of Games on Demand on Xbox LIVE, we have a great tool in place to deliver classic titles in an incredibly convenient fashion”, uttered Phil Spencer, general manager of Microsoft Game Studios. “With the ‘Fable II’ episodic model, we’re encouraging people to experience the first chapter of the game for free, then move onto other chapters when they are ready. It’s a unique model and one that will appeal to gamers who’ve been hesitant to dive full into the original retail release.”

The Microsoft press conference also saw the announcement of Fable III. You can get the full details of that in SPOnG's earlier coverage, while the press release is available here.

If you haven't tried Fable II yet and episodic delivery tickles your fancy, check out SPOnG's review.