An anonymous reader writes "Philippe Dauman, Viacom CEO and President, announced today that Harmonix is currently working on the next Rock Band game, Rock Band 3, due for release Holiday 2010. 'The company is pursuing the game in spite of an industry-weakening decline in the once-booming genre of peripheral-equipped music games. Although the franchise has generated over $1 billion to date, the category in general saw sales contract by as much as half throughout 2009. MTV Games parent Viacom also saw Rock Band declines drag on its balance sheet in its last fiscal quarter, and expressed a need to refocus away from pricey peripherals in favor of software. It also said that due to royalties it would need to be more "selective" about track listings, and that it needs more support from the music industry in that department.'"