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The idea of a third faction,neither Alliance nor Horde, but not exactly Neutral, has been considered, discussed and speculated upon for years in the Warcraft community. Blizzard has never acknowledged or seriously considered it as an option, due to the lack of lore support (intentional or not) and the probable logistical difficulties of supporting a third faction in Warcraft games, but especially World of Warcraft. The idea of more than two factions is not new to Warcraft, since Warcraft III: Reign of Chaos had potentially four factions (Human, Undead, Orc, and Night Elf) that were later condensed into two for the MMO.
In Mists of Pandaria EditThis section concerns content exclusive to Mists of Pandaria.
In Mists of Pandaria, the new Pandaren player characters start out as neutral for the first 10 levels, effectively making them like a "third faction." However, since they are unlikely to be able to leave their phased starting zone until after level 10, the practical game effect is negligible.