Avatar is basically eye-candy with a sentimental story. James Cameron is apparently an arrogant jerk from many accounts and things read, but I have never met the guy, unlike an earlier poster. Anyhow, he's overrated as a director imo. For instance, The Titanic should've, er, sunk like Avatar did.
All nastiness aside, I am very happy for Kathryn Bigelow and "The Hurt Locker", although I agree with those who've commended "District 9," and I wish it would've won a little more or something, if even not best picture.
I also wish Carey Mulligan would've won for best actress; not that I have anything against Bullock and her endeavor into more serious drama, but I simply thought Mulligan's performance to be the better one.