The publisher, along with Russian developers Akella and F3games, were to create the game, setting an approximate release date of late 2008. In December 2006, Strategy First outsourced Jagged Alliance 3 again. However, a year later, Strategy First withdrew the title from MiST Land South and began developing the title internally.

Strategy First and Game Factory Interactive initially partnered with Russian studio MiST Land South to produce a sequel to the game. Jagged Alliance 3 was first announced in 2004. With their remaining resources, the president's family hires a group of elite mercenaries from the Adonis Corporation, who will attempt to rescue the president and bring order to the country. The fictional country of Grand Chien has been in chaos following the kidnapping of its president by a rogue paramilitary force known as 'the Legion'. The game will also feature a cooperative multiplayer mode. As the mercenaries level up, they will also unlock new skills and abilities. Players will also gain intel as they progress, thus unlocking additional side missions and opportunities. Players can also access a dynamic campaign map, which will provide more context about each individual turn-based battle, and how the enemy forces react to them as they attempt to retake these territories. They can also be looted for their resources. Weapons can be customized and the mercenaries can aim at individual body parts of an enemy.

The game features a roster of 40 mercenaries, including several returning characters such as Vicki Waters, Ivan Dolvich and Fidel Dahan. Each member of the player's squad has their own unique backstories and personalities. Played from an isometric perspective, Jagged Alliance 3 is a turn-based strategy video game in which the player issues commands to a squad of mercenaries. It is the first mainline entry in the Jagged Alliance series since Jagged Alliance 2 (1999). The game is set to be released for Windows in July 2023. Jagged Alliance 3 is an upcoming tactical role-playing video game developed by Haemimont Games and published by THQ Nordic.

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