UPDATE: EA has responded to the speculation about KOTOR 3, essentially saying don't jump to the wrong conclusions - the follow-up article with this in can be read here.
Original story below:
One of our favourite rumours is back - that BioWare is working on a brand new Knights of the Old Republic, Star Wars RPG. But this time word suggests that it's not going to be of the previously tipped MMO genre. And looking at the uproar an MMO would create from past comments, that's a good thing.
Kotaku reports that "during an EA analyst report it was revealed that in addition to working on more Mass Effect, Dragon Age and a 'New MMO', BioWare is also handling a new Knights of the Old Republic title. Which means it's not their upcoming MMO."
Standalone RPG? Looks like it. Read more here.
It's also being reported that Pandemic is at work on a new Lord of the Rings game. But there's nothing more than that. Sorry Rings' fans. And that there'll be more Burnout and Skate games coming, but that was a given anyway, right?