Lucasarts and Bioware Corp. To Develop Ground-Breaking Interactive Entertainment Product is a press release on the newly launched Lucasartsbioware.com (thanks Shacknews) revealing a partnership between the two companies, lending further credence to rumors that BioWare is creating an MMORPG based on Knights of the Old Republic (story). For the time being that will have to remain the subject of speculation, but here is some concrete information about what they are up to:

SAN FRANCISCO, CA and EDMONTON, CANADA — October 30, 2007 — LucasArts and BioWare Corp. today announced that they have entered into an agreement to create an interactive entertainment product. The product, details of which will be unveiled at a later date, will be developed and published by BioWare and LucasArts, and will push the boundaries of the gaming market by utilizing the strengths of both companies to deliver an innovative, high-quality experience.

“LucasArts has a deep commitment to developing compelling stories and characters for the unique medium of interactive entertainment, and we have been searching for a developer that shares this value. We found this in BioWare,” said Jim Ward, president of LucasArts. “Through our previous collaborations, we know that BioWare has an impressive ability to blend gripping stories with technological advancements, and we believe that our upcoming product will deliver an experience that will span the traditional boundaries of video game entertainment.”

“BioWare’s mission is to deliver the best story and character-driven games in the world, delivering powerful emotional experiences to our fans.” said Ray Muzyka, chief executive officer, BioWare Corp. Added Greg Zeschuk, president of BioWare Corp., “The collaboration with LucasArts allows us to combine our passion for creating high quality and innovative experiences with those of a company dedicated to bringing only the finest games to market.