Guild Wars 2 to provide private server functionality? [Updated]

Guild Wars 2 - concept art
One of the more interesting reveals to come out of the post-PAX news glut is a blurb about player-created PvP servers in Guild Wars 2.

Yeah, we did a double-take as well, and the post over on MMORPG.com is pretty light on the actual details while promising more info later in the week. Apparently, ArenaNet's Colin Johanson and Eric Flannum let slip that GW2 will allow players to "create and host their own servers or games with specific rule-sets as well."

The thread title mentions PvP servers, but the "specific rule-sets" bit above seems to indicate that the mechanic could cater to roleplayers, PvEers, or any number of other specialized groups who desire a customizable play experience apart from the meddling masses. Is Guild Wars 2 following the trail that Neverwinter Nights blazed a decade ago? Is it all a misunderstanding? It looks like we'll find out later this week.

[Update: ANet has clarified this topic by posting the following: "In the interview {Eric} mentioned that we are considering allowing players to 'create' their own PvP servers, it is not for certain. And we never mentioned anything about 'private PvE server' -- that is something we will definitely not do."]
This article was originally published on Massively.