At this point, it's beginning to feel like everyone except gamers know what's going on with the next PlayStation and Xbox.
Avalanche Studios has a job posting on GameSutra for a Senior Graphics Programmer position. While that by itself is probably exciting for someone out there, it's the description that is worth your attention. Not only does it confirm that the team is working on another—likely to be fantastic—title, it mentions that the studio is designing an engine to carry it into the next-generation.
Avalanche studios is currently looking for an experienced Senior Graphics Programmer to be a key contributor to our New York studio. At Avalanche Studios you will work with some of the industry’s most exciting technology and talented individuals. We have a solid reputation for producing great looking open-world games and this is a great opportunity for the candidate who wants to play an instrumental role on a small team developing our next-generation graphics engine.
Both Just Cause games used a proprietary Avalance Engine backed by Havok physics, and they ran extremely well. Just Cause 2 in particular was a beautiful game with one of the best open-world environments we've seen. Now that new potential awaits both the development team and possibly the series, it's hard not to be excited for what Sony and Microsoft's upcoming platforms will entail.