VG247 reports a rumor that Valve's E3 surprise will be the announcement of the Source Engine 2. They attribute this to a "VG247 source," who wishes to remain anonymous. Their source also suggests the possibility this will be shown off running Half-Life 3, showing even rumors can bury the lede.
Luther wrote on Jun 9, 2010, 07:19: I can't honestly say I understand why people go on about the source engine being long in the tooth - they've evolved the code base ever since the start and add new features with every release;
Having to look at something say "LOADING" every 15 seconds is not exactly a FEATURE. And since the Dunia and the JC2 engine have shown that you can build absolutely GINORMOUS game worlds without EVER seeing a single loading screen, it's about time that Valve's poopy approach to doing levels goes the way of the dodo.