Speculation about director Lokesh Kanagaraj’s next film has put Allu Arjun and Mahesh Babu fans at odds. Reports continue to link Lokesh with Allu Arjun, while rumours suggest the project could be delayed, shelved or redirected. So far, no confirmed announcement supports a switch to Mahesh Babu.

Allu Arjun Collaboration Remains the Reported Plan

The project, referred to in reports as AA23 or LK07, was announced as a collaboration between Lokesh and Allu Arjun. Some reports also said that portions of a promotional glimpse were filmed in Mumbai. More recently, speculation spread that the project had been shelved or that Lokesh might instead work with Mahesh Babu. Allu Arjun’s team reportedly denied the shelving claims, while the latest industry report says the Allu Arjun collaboration is still the likelier path. Neither a new schedule nor a change in the project’s status has been officially announced.

Mahesh Babu Rumours Remain Unconfirmed

The possibility of a Lokesh–Mahesh Babu film has excited some Mahesh fans, but fan interest is not confirmation of a project. There has been no public announcement from either the actor or the director confirming that the Allu Arjun film has been transferred to Mahesh Babu. Until the makers or the stars share an update, reports of a change should be treated as speculation.

Lokesh Has Explained Earlier Project Changes

Some of the director’s earlier plans did change, but the reasons are more specific than a general pattern of projects being “shelved.” Lokesh said he stepped away from a proposed Rajinikanth–Kamal Haasan film after working on its script for about six weeks: the actors wanted a light-hearted story, while he had developed an action script. He has also said that the Allu Arjun project took shape after that collaboration did not proceed. Regarding Aamir Khan, Lokesh said there was no final decision because of other commitments—not that the project had definitively been cancelled.

Official Updates Will Decide What Comes Next

For now, the available reporting points to Allu Arjun as Lokesh’s most likely next lead, with Mahesh Babu’s name circulating as an unconfirmed possibility. Lokesh has previously said that he plans to make Kaithi 2 after completing the Allu Arjun film. That makes the current project’s status especially important to fans of both his Telugu debut and the Lokesh Cinematic Universe. Until a formal update arrives, the Allu Arjun collaboration remains the clearest reported plan.