In their latest mailbag answering session of Scribes, Rare squishes then squashes the rumor that their team is currently working on a Killer Instinct sequel stating that "purely out of contractual obligation, no, we're not working on KI3". Rare also re-emphasizes that their main focus right now is the Xbox 360 Banjo-Kazooie sequel which we're sure we'll be seeing at this year's E3.That pretty much ends the Rare rumor squashing for today. But let it be known that their yet to be announced project after Banjo ships is totally fair game for the rumor generators among us.
[Via Joystiq]


The rumors keep rolling in this week. This latest is an oldie but a goody. A Dutch website called Xbox 360 Only is reporting that the latest issue of Games TM (a UK publication) states that Killer Instinct 3 is headed to the Xbox 360. For those that don't know, Killer Instinct was part of the nineties fighting game boom (think Street Fighter and Mortal Kombat) and also one of the earliest games to promote the Nintendo 64 (called Ultra 64 at the time). Not only that, but KI is one of Rare's most fondly remembered titles, introducing millions to the dial-a-combo system that still pops up in fighting games today.


