Chu is in negotiations with the studio on the sequel to "G.I. Joe," which the Reporter said did well at the box office but was not well received by critics and the all-important "fan boy" market.
Chu got the nod after he directed the Justin Bieber concert documentary "Justin Bieber: Never Say Never," which returned $53 million to Paramount on their investment of $13 million.
The Reporter said one of Chu's first tasks could be assembling a cast. Sources said Sienna Miller and top villain Joseph Gordon-Levitt likely would not be available for the sequel.