Word over at 1up.com is the fact Blizzard will be playing something called the "Medusa Demo". This could be Starcraft or Diablo related of course. Kerrigan is a lot like the Greek character Medusa. In Diablo though, there is an item called Medusa's Gaze.
i looked up medusa in wikipedia and found these quotes:
Some classical references multiply her into three Gorgon sisters: Medusa, Stheno, and Euryale, monsters with goggling eyes, sharp protruding fangs and lolling tongues, brass hands, and hair of living, venomous snakes
in the translation of Jane Ellen Harrison, who notes "the Gorgon was made out of the terror, not the terror out of the Gorgon (Harrison 1922: 187, note 3).
the first one can apply to SC and Diablo, since kerrigan can have others of her type running around, and diablo because andariel can be a sister of medusa.
however the second quote is interesting. maybe Diablo has a daughter with ol' miss lilith. remember, she drops his horn.
other than that, i didnt find too much a connection with medusa and SC or diablo. but it is curious ^^'
i really dont know what is the trouble on diablo series with blizzard. What blizzards think bout a third game. They have never said anything bout that, all we got are rumors ..
Diablo series, in my opinion, its one of the greatest series thar blizzard ever worked on, and there are so many player that still play this game.. so why cannot make a third? whats the big deal? if this time diablo 3 wont be annunced, i really think that they never will.. or if they will, maybe in 2020, or later..