The Hobbit: According to Variety, with Sony apparently unable to construct a final offer for MGM, it's looking increasingly likely that Time Warner will swoop in and grab the studio.

Since the holdup isn't on the MGM side at all, but still resides at Sony. The conglom and its two equity partners, Texas Pacific and Providence Equity, are struggling to get onto the same page. Since Sony isn't the one putting up the cash, it can't control the process.

Should Time Warner incorporate MGM, the theatrical film rights to J.R.R. Tolkien's The Hobbit will finally be under one roof making it a very likely possibility for the film to go into production sooner rather then later.

Of course, time will tell. We'll keep ou posted.