Wild Life sounded...bizarre. The animation in the article looked interesting but I can't say I don't blame Disney for canceling the film. After the underperformance of Dinosaur, this film was just too weird to spend hundreds of millions of dollars making.
The second article doesn't seem to acknowledge the gay themes as the reason it was canceled, the first article seems to say the film was going to be targeted towards adults under the Touchstone banner, in that case I can definitely see why it was canceled, No mainstream adult audience is going to watch an animated film about the nightlife scene with animals and heavy gay themes. I'm surprised the film was even greenlit with such a high budget, unless the artists and writers turned it into a very different film from what Disney had imagined, hence why it was shut down.
I seem to recall a film called Party Animals that was being talked about in 2002 or 2003, it was to be produced by the Farrelly Brothers and directed by Seth MacFarlane, it was going to be the first CGI animated R-rated comedy, it was about two pigeons in the city and their raunchy adventures. I never heard anything else about the film, other than its initial announcement. It was going to be distributed by 20th Century Fox.
I've never heard Seth MacFarlane talk about it, which is odd, it was going to be his first ever theatrical animated feature, I would think he would at least offer an explanation as to why it never panned out.
Edit: Here's an article from Animation Magazine from early 2003, talking about the film:
Seth MacFarlane, creator and exec. producer of the Fox animated series The Family Guy, tells Animation Magazine Online that he has teamed up with the makers of Kingpin and There's Something About Mary to produce the first R-rated computer animated feature.
The Farrelly Brothers are producing and MacFarlane is taking on writer/director duties for Party Animals for Twentieth Century Fox. While Macfarlane is now a veteran in the animation business, this will be the second toon foray for Bobby and Peter Farrelly, the reigning kings of irreverent humor and gross-out comedy, who directed the 2001 pic Osmosis Jones. They will be working with the Fox Animation division.
Party Animals is based on the book Frisco Pidgeon Mambo by C.D. Payne. The satirical yarn follows three pigeons that get booted from their comfortable digs in a Berkeley lab to face life on the streets of San Francisco.
While specific details of the film version are still under wraps, MacFarlane will tell us "It's going to be pretty groundbreaking, I think. I'm having a really good time with it."