The problem with video game movies is they try to jam way too much of the storyline into one that's muddled and makes no freaking sense (ie: Resident evil 4-6). If they stick to just or one-two character arcs they can merge then they should focus on that and it could actually be good. Like either focus on SF stuff with Sonya, Kano, Kabal, and Stryker, maybe have the Lin Kuei interfere and whatnot, but trying to jam everything else like the cyber initiative, Raiden and the tournaments, Shao Khan, Quand chi, Scorpion and everything else from Outworld would be way too much.
They should just focus on making 3-4 movies to explore all the storylines instead.