This is definitely a bummer.

While I had heard the rumors that Jon Favreau had clashed with Marvel over the content of Iron Man 2, I had hoped that the success of the second film would allow him to finish the trilogy as he’d wish.  Alas, if the rumors are to be believed, Marvel Studios and Jon Favreau have reached an impasse, and he will not be returning for Iron Man 3.

The rumored reasons are everything from Marvel presenting an over-elaborate version of Iron Man 3 which turned Favreau off from the project, to simply the idea that the director is too in demand and too expensive for the penny pinching folks at Marvel Studios.

But whatever the reason why, the fact is that Iron Man 3 will progress without half of the team which made the first two work, and that’s a shame.  No matter who Marvel likes, however, the final pick belongs to Robert Downey Jr., as he has contractually negotiated director approval, which will make the selection process very interesting.

Who would I like to see behind the camera?  My choice is simple - with his experience directing superheroes and even important action franchises, I feel like Brad Bird (The Incredibles, Mission: Impossible 4) would be a great pick for the movies moving forward, especially with his Disney ties.

No matter the outcome, here’s hoping the third shellhead outing remains a good one.

Source: Vulture.

EDIT - 10:02PM

Favreau has done an exclusive interview with the LA Times, explaining why he left Iron Man 3. It seems his Magic Kingdom film will be a part of a trilogy of auteur based Disney films, including a David Fincher helmed 20,000 Leagues Under The Sea and Guillermo Del Toro’s Haunted Mansion.  This sounds really cool!