The full online chat from Peter Jackson and Guillermo del Torro about THE HOBBIT is available here.
A highlight was del Toro's discussion on the use of CGI in the movie, which he will direct:
"I plan to mix CGI and PHYSICAL in such a way that your eye wonders which is which- keep you mind busy but NEVER allowing for the weaknesses of either tool to take over. Yes, I have, by trial and error, learned that both tools need to be mixed and how much they must be mixed to succeed in creating environments and living creatures. WETA is the lead house, absolutely but we will expand the creature team and beef up the prosthetics team. Imagine a physical creature with a radio controlled muscle/facial system but with partial CGI replacement on the head or mouth, etc and you'll start to get the idea," del Toro wrote.
Jackson and del Toro answered 60 questions in an hour from more than 6,000 fans and 4,000 questions.