lukeiamyourdad: I don't see that creating an MMORPG eliminates them later releasing a single player campaign game sequel to the series already in existence. I think that there will come a point where Blizzard will make a WC4, once WoW has played out all it can, and don't see any reason why if the talk of a KOTOR MMO is for real, it would mean any more than a loooong delay, rather than LA saying it would never happen.
LA did say that they intended to focus on 3 - 4 games a year, did they not? Frustrating as it will be if they insist on this MMO playing itself out first (if it exists), I don't think they're mutually exclusive. On the plus sides LA is bigger than Blizzard and since it seems they're contracting out their MMO, it would leave them free to find another developer, like obsidian for K3. So I don't think that they would only be able to have 1 major thing on their plate, and have to have everything else fall by the wayside the way blizzard has.
I mean they could be looking at a KOTOR MMO to do their advertising for a KOTOR 3 normal game, rather than replacing it.