In an interview recently with GameBanshee, Urquhart replied to being asked if he thought there would ever be a “true” Kotor III by saying,
“I don’t really know. A part of me hopes that there will be, because I think we can do things in the more single player story based RPGs that you just can’t do in an MMORPG. Like I said, I really hope that there is one, with BioWare busy on the MMO; I hope LucasArts gives us a shot at making KotOR III.“
Not a surprise there, really. Obsidian and Lucasarts both have acknowledge faults in timing for Kotor II, and many think, if time had been given, both could have made Kotor II better and more complete