[Update] Have a look at the Xbox 360 Limited Collector’s Edition below. [End of Update]

In what industry watchers are calling the biggest ‘box art debacle’ of 2010, Microsoft and Lionhead have come out and confirmed that Fable III is indeed coming to the PC in addition to its release on Xbox 360.

Last week, Microsoft released the official, final box art for the epic RPG Fable III, only along the top of the box, where it usually says “Only on Xbox 360,” the text continues on to read “& Windows.”

This lead to rampant speculation that Fable III was to be released on Windows platforms, which has now been confirmed to be true.

Fable III will be available as a Standard Edition (for $59.99/£44.99/€64.99 and a Limited Collector’s Edition (for $79.99/£59.99/€84.99) on Xbox 360.

The PC version of the game, on the other hand, will retail for $49.99/£39.99/€54.99, and will also be available to download exclusively through Games For Windows LIVE’s Games on Demand digital download service come launch time.

The collector’s edition of Fable III for Xbox 360 brings with it all kinds of great-sounding extras, including the following:

• A new quest: Uncover the mystery of the haunted forests of Silverpines and earn the legendary sword, Wolfsbane, deadly against wolves and balverines.
• Exclusive location: Unlock a new region, ideal for settling down with a family and discovering new treasures.
• Fable III playing cards: Created by Lionhead, these cards depict every type of character in Fable III, including Heroes, royals, rebels and villains from across Albion and beyond.
• Guild Seal Coin: The coin features a Good side (blue) and Evil side (red) to assist players in making critical decisions that will impact the fate of the world forever.
• A new dog breed: Renowned for its loyalty, the Boxer is a brave canine companion worthy of greatest Queens and Kings.
• One unique outfit: Unearth one male and female outfit from the mysterious, faraway land of Aurora, a new destination in your Fable III adventures.

All of the above is wrapped up in a “distinctive box created in the likeness of a book.”

Good news indeed for PC RPG fans, so if you’re new to the Fable III party, you can easily catch up by browsing through El33tonline’s previous coverage of the game for tons of screenshots, videos and extra information.