Perhaps Diablo 2 on the hardest possible settings becomes a bit more like a game, however it's still the case that when you die, nothing happens. You just try again from pretty close with slightly less gold - it's merely a small setback, not a loss.
I'm NOT advocating for Diablo to have permadeath or something like that. Diablo has to be completely re-designed from the ground up to include something like the ability to actually LOSE.
You do realize that Diablo 2 has a perma-death mode, right? A lot of people play it that way, and it's tons of fun.
Also, when you set the amount of players to 8, Diablo 2 is a highly challenging and strategic game. More so than many classic roguelikes. It takes some serious build tweaking and cooperation between players to finish it through all difficulties. Even if death itself has a minor effect, dying all the time holds your progress anyway.
Sure, you could criticize Diablo for being an addicting click-fest, but its design is actually quite tight. Many roguelike developers could learn a lot from it. Take enemies for example. Most roguelikes just go for quantity here - myriads of enemies, differentiated mostly by their stat values. In Diablo games, every enemy type has something special going for it - some guys charge at you, some can resurrect buddies, some explode when they die, some teleport, some have pack mentality. And the game randomization system is designed so that on each level you get a nicely balanced set of enemies, that creates interesting strategic situations and allows every character in the team to shine.
I've read Bill Roper's article about this a while ago. It's crazy how much thought went into something that most players won't even register on the conscious level. It's probably one of the reasons why none of the later Diablo clones enjoyed similar level of success.