King Diamond is the heavy metal band that King Diamond formed after the split up of his First Wave of Black metal band Mercyful Fate. Also following the departure of Hank Shermann. He was joined by most members of the then defunct Mercyful Fate. The Satanic focus was replaced by a focus on horror stories. Apart from two albums, each of the albums contained a story told throughout the songs; some stories span more than one album. Only Fatal Portrait and The Spider's Lullabye deviate here, in that only half of the songs form a story while the other songs are independent.

In 2000, King Diamond recorded a concept album solo entitled House of God concerning religious symbolism and emotional manipulation. King Diamond would again face lineup changes that would be the last to this date. Hebert, who also left for family reasons, was replaced by Matt Thompson. Harbour, who had presonality clashes with the band was replaced by former King Diamond bassist Hal Patino who was able to conquer his drug problem. Glen Drover, who also left for family reasons was replaced by one time King Diamond and current Meryful Fate guitarist Mike Wead. Drover later went on to join Megadeth. This lineup would be the most consistent in King Diamond's history. In 2002, by popular request, Abigail II: The Revenge was released, and though well-received critics and fans alike, alleged loss of profits due to file sharing kept the band from touring.

The issue of touring funds was solved for the 2003 release of The Puppet Master. Since the album was recorded largely at King's home in Texas, more money was left over for a tour. The tour was documented of the 2004 live album Deadly Lullabyes Live.

"The Puppet Master", which tells of human beings being converted into string operated dolls, received critical acclaim. In addition to guitar work by Andy LaRocque, the album features long time collaborator Hal Patino on bass and Mercyful Fate guitarist Mike Wead on additional guitar. Also featured are drummer Matt Thompson and female singer Livia Zita.

In April 2006 King reunited with old friend Mikkey Dee (current Motörhead drummer) at a sold-out gig at Kåren in Gothenburg, Sweden.  In 2001 King referred to Dee as "one of the best [drummers] of all time and that's something that has bothered us since he left."

In January 2007 it was announced on the band's official website the that mixing of the new album will start on the 5th of March in Dallas, Texas. The new album entitled "Give Me Your Soul...Please", was released on June 26th in North America by Metalblade Records and June 29th in Europe by Massacre Records. Following the release in December the band received a Grammy nomination in the "Best Metal Performance" category for the track "Never Ending Hill".

Early 2008 saw the premier of the music video for 'Give Me Your Soul' directed by Bill Schacht for Aestheticom (www.aestheti.com). It won 5 straight plays in a row on 5 episodes of Headbangers Ball, the #1 show for Heavy Metal in the US, for a #1 most played slot over that time period. The video depicts King and band as a ghost in the house with many depictions of scenes from both the song and album, much to the delight of the fans