Twisted Metal III is a vehicular combat game released in 1998 for the PlayStation. Players control weaponized vehicles in arena-based battles, aiming to destroy opponents and survive each round. The game features new characters, levels, and a redesigned physics engine. It introduced a new developer, 989 Studios, following the departure of the original creators. Reception was mixed, with criticism focused on controls and design changes.

Twisted Metal III takes place two years after the events of Twisted Metal 2 and is a continuation of the previous game’s story. A mysterious man who goes by the name of Calypso returns with his Twisted Metal tournament, in which the winner is granted one wish. Calypso tends to twist the winner's wish, leaving them with an unfortunate demise.