Sony To Buy MGM. Kiss Those Hopes of a Peter Jackson Directed Hobbit Goodbye

The Hollywood Reporter has announced that MGM has agreed to a buyout bid from Sony after Time Warner dropped out of the running. While this has some pretty big consequences for the industry at large, the only one that really matters to me is that this means those 'Peter Jackson will direct the Hobbit' rumors are officially good and dead. The Hobbit's rights are held partially by New Line - a Time Warner company - and partially by MGM and neither is willing to let the other in on a potentially enormous payday. When Time Warner was in the running for MGM there was a chance that all the rights would end up in the same place thus paving the way for the film to go ahead, but don't hold your breath on that happening now ... The Hollywood Reporter story is here.