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The news has been flying around blogs and message boards since Sunday night that Del Toro will direct the two part Peter Jackson exec-produced Hobbit.Below is a Q&A with del Toro in Spanish and French from theonering.net which seems to confirm that, although nothing is official at this point. Rumour is NL will make an announcement after the writers strike ends, if not before.
The lawyers have to say grace over everything of course. It's early days.
Del Toro was also rumoured to be in talks with WB about directing the last HP film, which this video also seems to conform.
Cuaron would have been my first choice, but if true, this is good news, very good news.
Edits: 01/29/08Follow Ups: