There are guns because
Fable 2 takes place 500 years after the original. Naturally, technology has advanced quite a bit. We're dealing with a more Not-Quite-To-Industrial-Revolution-Yet setting now. Which I think is cool. Anyone else bothered by all the fantasy worlds with centuries of history written out, but with no technological advancement to speak of?
Anyway, the rumored hate mail was the result of some very bad over-hyping prior to
Fable's release. Basically, whenever the lead developer got a cool idea, he would spout it out to the media. Among the things he mentioned being in the game:
-Cutting down trees, which might affect the way a town was built later on, but also might just grow back in real time
-Rival heroes who would try to one-up you on your important quests
-Free roaming enviroments
-A storyline that would be completely different every time depending on every little decision you made.
Instead, we got
this.