Microsoft will release the original Killer Instinct arcade game with the new Killer Instinct from Double Helix. However, you can only get Killer Instinct Classic with the Ultra Edition. The arcade classic won’t be sold separately.
"Killer Instinct Classic is a complete port of the original Killer Instinct arcade game, and you can ONLY get it with the Ultra Edition of Killer Instinct," producer Torin Retting said to Siliconera. "In fact it is a complete port of TWO versions of the Killer Instinct arcade game. It includes the original arcade ROM (v1.4) with all of the classic, fan-favorite glitches, and the revised version (v1.5D) that came out later to fix things like Cinder’s infinite combo. In addition to this we’ve added cool extras like a training mode, frame effects like scan lines to emulate a CRT and galleries of the original sprites."
Killer Instinct Classic won’t have online multiplayer, but Retting adds the team has been "talking about it a lot." We also asked if Killer Instinct 2 would be released later on. Retting teased, "No news for Killer Instinct 2 for Xbox One… yet."