In response to the events in New Mexico and the revelation of alien worlds and powers beyond Earth, the World Security Council scrapped the Avengers Initiative in favor of a more practical approach: the development of weapons.
Phase 1 of Tesseract project was known as Project P.E.G.A.S.U.S. which dealt with harnessing the near-limitless energy of the Tesseract.
Phase 2 was to have dealt with S.H.I.E.L.D.'s creation of Tesseract powered weapons for the defense of Earth from alien threats. To this end, Nick Fury ordered all of the weapons confiscated from Hydra to be collected and studied.
- 2 Appearances of Phase 2 (Earth-199999)
- Minor Appearances of Phase 2 (Earth-199999)
- Media Phase 2 (Earth-199999) was Mentioned in
- Images that include Phase 2 (Earth-199999)
- Team Gallery: Phase 2 (Earth-199999)