Killer Instinct could be making a return in the near future after Microsoft teased they might have something planned for the series in the near future.
Quote:
On the website PlayXBLA, Microsoft has made an announcement:
With all due respect to our friends in the media who like to frequent trademark sites, we thought we’d break this one ourselves. 
Our legal eagles have authorized us to say: "We have either renewed or refiled a trademark application in various jurisdictions."
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While it is unlikely the new Killer Instinct game will be Killer Instinct 3, it is very likely it would be as a HD port or remake of the original arcade game for Xbox Live Arcade.
http://www.screwattack.com/news/c-c-...ewed-microsoft
http://www.destructoid.com/microsoft...t-235169.phtml
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Daily Recap:
1) Bioware officially confirms a new Dragon Age is in development titled as "Dragon Age III: Inquisition" which will use the Frostbite 2.0 engine and is set for a late 2013 release.
http://www.giantbomb.com/news/long-s...subtitle/4371/
http://www.egmnow.com/articles/news/...i-inquisition/
2) The director for Bayonetta 2, Hideki Kamiya, states he would like to work on a Star Fox game for the Wii U if Nintendo were to allow him as part of the growing bond Platinum Games has with Nintendo right now.
http://www.egmnow.com/articles/news/...ds-off-haters/