LucasArts Layoffs, Star Wars: KotOR III Confirmed?

Kotaku brings word that as many as 100 LucasArts employees have been laid off and that their departure has prompted new information about several as-of-yet unannounced games in development - including Star Wars: KotOR III.
Most interesting, however, is the information they provide on how the layoffs leave the company severely short-staffed as they approach a packed development schedule, one which it appears may be increasingly outsourced. Some of the titles they report Lucasarts apparently have in this stacked pipeline, whether as publisher or developer, include:

- KOTOR 3 (They say it's an MMO: most likely a joint project between Lucasarts and BioWare)
- Battlefront 3 (which we've already heard about)
- "The Official Indiana Jones" game (probably this one)
- "another LEGO game based on the Indy universe"
- "a lightsaber game for the wii (sorry, no lightsaber peripherals)"

Two internally-developed games apparently far enough along to be unaffected by the sackings are The Force Unleashed (which they say has already "passed approval with SCEA and is ready to ship") and Fracture, which they say is described by team members as "an absolute piece of garbage".

While still a rumor, I think it's safe to say that we're going to see some form of a Knights of the Old Republic sequel in the not-too-distant future.