Sir Ian McKellen says shooting is finally set to begin in June but it still appears undecided as to whether The Hobbit will be filmed in 3D or not.

With industry sources saying The Hobbit will be in 3D and with Peter Jackson and Guillermo Del Toro both not taking an opportunity to kill off the rumor as happened originally when it was raised by MarketSaw back in 2007, the smart money says it will be.

Talking of money, the interest in a 3D Hobbit comes from the studios who are still drooling at the success of Avatar.

GDT told Torn the other week that the studio had brought up the idea and it was being discussed.

According to Stuff.co.nz who are usually spot on with all things middle Earth, the industry insider is adamant it will be in 3D and Weta Digital would be doing it following their Oscar for the work they did on Avatar.

Wingnut Films spokesman Matt Dravitzki told them:

“What Guillermo said on the blog is as far as things got. It’s a conversation being had by a lot of studios but that’s as much as it is at this stage. We don’t have a cast, we don’t have a green light, and until any of those things happen no decision around [3D] will be announced or made.”

Update: Sir Ian McKellen’s blog now says filming starts in July.

Has Avatar convinced you The Hobbit in 3D is a good idea?