Per the co-director of How to Train Your Dragon, the barriers between different types of movies are coming down.
The modern Hollywood animator is accursed with a burden that never bedeviled Walt Disney, Chuck Jones or even the '80s Imagineers who framed each shot of Roger Rabbit. In the era of "Avatar," ... [n]othing is impossible.
... "There's nothing you can't do in terms of creating a performance," says Dean DeBlois, ... "It's only a matter of time, money and imagination." ... " 'Avatar' has bridged the gap so much between what live-action did and what animation traditionally did. ... "It exists in the middle. Those lines of animation and photo realism are so blurred." ...
Matter of fact, the lines are eliminated, aren't they? When an audience looks at characters that gestated from an animation artist's head, to her drawing tablet and finally her computer, yet accepts the resulting images as live-action, there ain't no differences anymore.
We've reached the era of full-on fusion. Bre'r Rabbit and Jessica Rabbits were cartoon figures invading a live-action world. The life-forms of Pandora are animated characters passing themselves off as live-action beings from start to finsish.