The German Ardennes Offensive, called by the Allies the Battle of the Bulge, is in full swing in Luxembourg and Belgium this week, and the Germans have the key junction town of Bastogne under siege. On the Allied side there comes a large American surrender, plans for counterattacks, and tension growing between British and American Commands. The fight in both Italy and the Philippines continues, and in Hungary the Soviets have nearly surrounded Budapest.

The Germans launch a new offensive, Operation Nordwind, in Alsace, even as their offensive in the Ardennes is stalled. The Allies in the west don't just have to fight these, they are also having serious issues amongst themselves in High Command that threaten their unity. The siege of Budapest is in full swing and is a hard, fought, bloody battle, and the Soviets and the Americans have big plans for new offensives soon to kick off in Eastern Europe and the Philippines (respectively).