Surprise: Diablo III Coming

Diablo III is one of those games that most people assume has to be in development, but has still yet to be announced. Now, several Blizzard and Diablo fan sites have hosted an online chat interview with Diablo novelization author Richard A. Knaak containing numerous tidbits suggesting that a third main game in Blizzard's acclaimed hack and slash RPG series is on the way. Some choice quotes:
Q - Medievaldragon: How much of the book is creation of yours, and how involved is Chris Metzen behind the canon storyline of Diablo: The Sin War Trilogy? Do you think the ramifications of this book impact in the storyline of Diablo 3 the game?
A - Knaak: This is a pure collaboration between myself and Chris/Blizzard. All that is written is passed by him and the others there. This will be canon and has adjusted earlier info. The ramifications here will be used for any future project...and I ain't writing for a dead game.

Q - Deathshade|EU: So... Diablo 3?
A - Knaak: I am not writing for a dead world...but a world with dead. nuff said

Shacknews can confirm these implications, based on information from multiple reliable industry sources close to Blizzard. Diablo III is indeed in the works.