Warner Bros. and Legendary Pictures are reportedly in negotiations with Jonathan Liebesman (the upcoming Battle: Los Angeles) to direct Clash of the Titans 2.  According to Deadline, the parties are "far apart on money."  Liebesman's name was mentioned in connection with the gig back in June.  Louis Leterrier decided back in April that he wasn't going to helm the sequel, but has been meeting with studios to get behind the camera on another blockbuster.

Clash 2 is currently set to shoot early next year with Sam Worthington and Gemma Arterton reprising their roles as Perseus and Io, respectively.  Battle: Los Angeles, which stars Aaron Eckhart, Michelle Rodriguez, Michael Peña, and Bridget Moynahan, opens on March 11, 2011.

[Update: Heat Vision reports that Liebesman has officially signed on to direct.  Warner Bros. plans to shoot in 3D, rather than convert it in post like the original]