Diablo 3 - PvP Update

A few days back Jay Wilson updated Battle.net with progress on PvP for Diablo III. In summary, team deathmatches aren't working out and will be withheld but in-game dueling will make it for patch 1.07:

Of course, our goal has been to release our Team Deathmatch mode as soon as possible, but we don't want to put anything out there before it's ready. Right now, Team Deathmatch isn't yet where we want it to be, so I want to provide some insight into where we are at in the development process. [...]

For us it comes to a few issues, one of which is depth.  Simply fighting each other with no other objectives or choices to make gets old relatively quickly.  We've brought a lot of people in to try out Team Deathmatch and, while some found it entertaining, most of our testers didn't feel like it was something they'd want to do beyond a few hours. Without more varied objectives, or very lucrative rewards, few saw our current iteration as something they'd want spend a lot of time in.