Gamedreams has posted word that another installment of Knights of the Old Republic (in fact, KOTOR 3) is already in development
George and crew are most pleased with the initial performance of KOTOR, so pleased in fact that KOTOR 3 is well into development! This time however expect everything to be new and improved! An all new next-gen engine is being prepped as is a modified battle system that will place a heavier emphasis on the lightsaber. There are even whispers that the game may be shown in some form at E3 THIS year, though I’d expect it to be far from completion, perhaps nothing but a video!
link:
http://www.fragland.net/news.php?id=9759)
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According to XBox Circle, Knights of the Old Republic 3 is in the works and it includes at least one major change.
Quote:
Also quietly in development is KOTOR 3, with the team at Obsedian still behind the game early news is that players can expect better interaction between NPCs and the main character, also IGN said to expect the fighting system to be completely real time. What is not known at the time is which platform KOTOR 3 will land on, one can hope that Obsedian would make the next gen jump.
link:
http://www.evilavatar.com/forums/showthread.php?t=8782)
IMO i still dont believe it..since it hasnt been confirmed