This was announced almost 2 years ago, and the last known news update was eight months ago. In anycase, here is a comprohensive listing of all the announcements and related news items concerning the game's development. No one knows if it will even come out or not. But for anyone wanting to know as much as is known, I hope this helps.

King's Quest Telltale information

I like Telltale, though I thought Tales from Monkey island was pretty mediocre, but I don't think they can do the games right, maybe they will prove me wrong who knows right now I stand open minded about Telltale doing KQ and some of the other Sierra classics but I still remain pessimistic about it.

I'm not looking for it to be the greatest KQ, but if they can make KQ relevant again, and semi- popular with modern audiences, I see it as a stepping stone to even bigger budget endeavor. If it fails things will not be any worse than they already are. The classics will always be around.

Paul Trowe of Replay Games, developers of the Leisure Suit Larry Reloaded game, claims the rights have been returned to Activision and a King's Quest game is currently in development.

http://www.digitaltrends.com/gaming/looking-at-leisure-suit-larry-reloaded-and-whats-ahead-for-replay-games-with-paul-trowe/

Of course this could be an April Fool's joke.

Telltale has officially cancelled their King's Quest. Which is a pity, because while I like Telltale's other games, this was the one I had been really waiting for the last two years.

It seems that we have to be content and just keep replaying the 8 games we already have, because there's not going to be new King's Quest.

I call it it the King's Quest curse... It could be the KQ9 curse.

The other question is Paul Trowe's second claim correct? Is Activision persuing there own plans to make a new King's Quest game?

What kind of game will it be? Another attempt at an action-rpg? But even further removed from previous adventure game features?

At least KQ8 kept the puzzle system and inventory system from KQ7 and previous games essentially.

Or is it yet another KQ9 plan that went nowhere?