They story isnt 'balls' at all, the story is fine. Sure everything has been done before, you can argue that for every new movie these days, it doesnt make them bad. That might not even be relavent to the film as it could easily be a totally different Halo story.
There are major problems with making Halo into a film though:-
-Main character never shows his face, isnt talkative and supposedly has no sex drive
Works great for the game because they can concentrate on Action, but they wont be able to make the film without some kind of human interation. Which either means Captain Chris Rock and his eager young squad with everything to prove following MC around..or something else i cant think of.
-The alien weapons all have glowly colourful visual effects
Its almost a gameplay feature in the game because it makes player/enemy fire a lot more easy to trace but on film a lot of people are gonna think it looks stupid.
-Grunts
Comic relief enemies are vital in a 20 hour game, you cant be 'on' the whole time. But in a 2 hour film you dont get very long to get your message across, and if your message includes "we are scared of these 5ft tall, poorly organised aliens i can take down in 1 shot", thats going to confuse people as to why we need MC at all.
And theres one major problem with the movie industry in general which makes the chances of this film being good very slim indeed:-
-Adult Only films are a studio no-no
The days of Starship Troopers where you could make a gorey, blood filled sci-fi action flick, take your 18 rating and be successful are dead.
Despite the fact that Halo is an M rated game so no one under whatever age it is should be playing it, studios will want kids going to see this movie. That means very little gore, very few scares. Take that all away and you are left with XXX in the 22nd century.