The wait between Dead Island and Dead Island 2 was incredibly long, but it appears that Dambuster Studios doesn't want to keep us in suspense for another decade, as we could see the game in a few years' time.
According to developer Dambuster Studios' recent financial earnings report (as caught by Timur222), Dead Island 3 is noted as being in development, with a projected release schedule of Q1/2 2028. The threequel is the primary project of the studio.
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Dead Island 2 managed to attract more than 20 million players (which doesn't translate to copies sold as it was available on Game Pass and for free via the Epic Games Store at a certain point), and Dambuster celebrated that news by announcing Dead Island 3. At the time, we weren't sure when we'd see the game, but now we have a better idea of when to expect it.
While we know of some major titles lined up for 2026 and 2027, there's currently not much in the 2028 calendar right now, so welcome Dead Island 3. I just hope GTA VI doesn't join you there soon.