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One of the meanings of "act" usually refers to a sub-part (division or unit) of a theatrical performance, like a play. Relative to Warcraft, the RTS games (starting with Warcraft II: Tides of Darkness) were usually played in series of acts, as if the game were presented like a theatrical performance.
In World of Warcraft Edit
Jeffrey Kaplan stated in an IGN interview that World of Warcraft: Wrath of the Lich King would have three acts. The first act culminates at Angrathar the Wrath Gate. Acts two and three will be Patched in. The point of this is to drive the story arc of the entire expansion. Arthas will be come up against for the first time at the Wrath Gate, but the final encounter with him won't be until the final patch (and act) of Wrath of the Lich King, some time after release.
- Act in a theatre performance.