Dambuster Studios has recently sparked excitement among gaming enthusiasts by strongly suggesting that Dead Island 3 is currently in development. The revelation came through a special Steam post commemorating the franchise's significant milestones. This follows the successful launch of Dead Island 2 in early 2023, which managed to win over both critics and players with its intense combat mechanics, visually striking environments, and distinctive humorous approach to the zombie apocalypse genre. The game achieved an impressive milestone of attracting over 20 million players, and following the release of two story expansions—Haus and SoLA—the community's appetite for a third installment has grown substantially.

The journey to Dead Island 2's release was notably challenging, marked by multiple developmental hurdles and studio changes. Initially announced back in 2014 with a planned 2015 release, the project underwent significant transformations when original developer Techland shifted focus to their successful Dying Light franchise. The game then passed through Yager Productions and Sumo Digital before ultimately finding a home with Dambuster Studios, who successfully brought the long-awaited sequel to completion after nearly a decade in development limbo.

The recent Steam post celebrating the franchise's 14th anniversary and Dead Island 2's player milestone contained several compelling clues about the next chapter. The promotional artwork featured Dead Island 2's cover character Jacob departing Los Angeles with travel gear, accompanied by the phrase "When there's no more room in Hell-A..."—a clear indication that the next game will explore a fresh location beyond the California setting. The most definitive evidence came from the post's closing paragraph, which explicitly stated: "Dambuster Studios are already carving out what comes next. For now, the details stay under wraps, the outbreak is far from over..." Combined with mentions of "the next outbreak already brewing," the message leaves little doubt about the studio's plans for a third mainline game.

Given the successful execution of Dead Island 2 despite its troubled development history, the third installment is unlikely to face similar production challenges. The more pressing question among fans revolves around the potential setting for the new game. The desert imagery in Dambuster's teaser has sparked speculation about locations like Las Vegas, though the original game's fictional Banoi island setting demonstrates the series' flexibility for diverse environments. The desert scene could alternatively represent the outskirts of Hell-A as Jacob makes his exit, leaving the actual destination open to imagination.

With more than two years having passed since Dead Island 2's launch, development on the third game is likely well advanced. Industry observers speculate that an official reveal trailer could appear during major gaming events like The Game Awards later this year. If not, an announcement seems probable in 2026, with a release likely following within a reasonable timeframe given the established foundation from the previous game.