The contest takes place all around the Los Angeles area and calls upon vehicles of every kind to battle to the death. Once a year the legendary Calypso, a man who dwells beneath the streets of LA, holds the TWISTED METAL competition. The message, flashing in red, simply said: WILL YOU DRIVE? And then, when you read the message, you knew that this dream was within your grasp. When you saw the name of the sender, CALYPSO, your eyes glazed over with visions of your greatest fantasy, your ultimate desire. You can remember that six months ago, somewhere between midnight and morning, your computer signaled an incoming e-mail on the United Internet System. The game's story takes place on Christmas Eve, 2005, during the 10th annual running of Twisted Metal taking place in Los Angeles. He promises to grant the winner of the tournament anything he or she desires, without any limit of availability or even reality.

The game's plot centers around a man named Calypso, the host of a vehicular combat tournament called Twisted Metal.

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