It would seem so.
According to the Hollywood Reporter, George Lucas is producing a CGI animated musical featuring faeries.
It's being directed by Kevin Munroe, who directed the slightly underrated CGI Ninja Turtles movie a few years back.
A lot of people are probably going to be laughing at this news, but there isn't a lot of news there. There's a film in production, it has fantasy elements. The director is competent, the producer has an excellent track record, doubly so if the story originates with him.
Personally, I'm excited to get more details.