According to NY Times , The Hobbit has finally been green-lighted with Peter Jackson as Director (duh)!

All the usual suspects are rumored to be in the movie, e.g. Cate Blanchett is Galadriel.

Who will paly Bilbo though? Rumors place the honor at Martin Freemen’s feet.

I’m definitely looking forward to it. It looks like it will be in two parts (says IMDB).