It appears the rumors were true. Capitalizing on the "huge success" of Sonic & Sega All-Stars Racing, the prolific publisher of hedgehog has announced a sequel: Sonic & All-Stars Racing Transformed. Developed by the same team as the original, the sequel once again remixes a wide cast of Sega characters in a race towards the finish. This time, however, there's more than meets the eye--these karts can transform.
"When the road falls away beneath you on Super Monkey Ball's Temple Trouble track your car transforms into a boat and speeds down the rivers and rapids, whilst the Panzer Dragoon inspired track, Dragon Canyon, takes you into the sky in complete control of your plane, barrel rolling to out-maneuver rivals and obstacles before transforming back into a car and racing to the finish line," Sega's press release describes.
Of course, this being a Sonic game, you can expect it on nearly every platform imaginable: Xbox 360, PS3, Vita, 3DS, and PC. The original All-Stars Racing also managed to get an iOS port, so that's something to keep in mind. Expect the sequel later this year.