Unreal Engine 3 Q&A
EuroGamer and Games Domain have new Unreal Engine 3 Q&As posted, asking Tim Sweeney and other Epic employees about the new technology. Mark Rein mentions in the EuroGamer Q&A that Epic's first game with the engine will be a single-player focused non-Unreal one, though new Unreal games will be made with it eventually.
From The Chatty
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clearly, they're working on either Jazz Jackrabbit 3d, or Jill of the Jungle 3d.