Blizzard has announced the shutdown of Blizzard North, the studio behind Diablo and the consolidation of all of Blizzard in Irvine, California. This move was somewhat anticipated, as many of those who worked on Diablo had moved on to Flagship Studios, developers of Hellgate: London, ArenaNet, deveopers of Guild Wars and Castaway Entertainment. Blizzard North employees who were offered contracts in Irvine are slated to work on an unannounced project which is rumored to be Diablo 3.

• GameSpot