Ben Affleck accepts the Best Picture award for Argo onstage along with members of the cast and crew during the Oscars. Picture: AP Source: AP
BEN Affleck's Argo, a film about a fake movie, has earned a very real prize: best picture at the Academy Awards.
It's the first best picture winner not to be nominated for best director since 1989's Driving Miss Daisy.
From the White House,First Lady Michelle Obama joined Jack Nicholson to help present the final prize.
''There are eight great films that have every right, as much a right to be up here as we do,'' Affleck said of the other best-picture nominees.
Michelle Obama presents the Oscar for Best Picture.
In share-the-wealth mode, Oscar voters spread Oscar honors among a range of films, with
Argo winning three trophies but
Life of Pi leading with four.
Hugh Jackman has missed out on the best actor Oscar to Daniel Day-Lewis.
Day-Lewis joined a select group of recipients with his third Oscar, taking the best-actor trophy for his monumental performance as Abraham Lincoln in the Civil War saga Lincoln.
John Goodman, left, Alan Arkin, center, and actor-director Ben Affleck in a scene from "Argo." Picture: AP
Bookmakers had Jackman, for his performance in Les Miserables, as the second favourite for Academy Award.
The other best actor nominees were Bradley Cooper (Silver Linings Playbook), Denzel Washington (Flight) and Joaquin Phoenix (The Master).
Naomi Watts failed to do the impossible and win the best actress Oscar.
The Australian was a long-shot with bookmakers for her role as a tsunami survivor in The Impossible, and that proved to be correct, with Jennifer Lawrence, for Silver Linings Playbook, taking the gold statuette.
It is the second time Watts has come up empty-handed at the Academy Awards, missing out at the 2004 ceremony when she was nominated for 21 Grams.
The other best actress nominees at the 85th Academy Awards were Emmanuelle Riva (Amour), Quvenzhane Wallis (Beasts of the Southern Wild) and Jessica Chastain (Zero Dark Thirty).
Daniel Day-Lewis accepts the award for best actor in a leading role for "Lincoln". Picture: AP
Les Miserables' Anne Hathaway has lived up to the hype and won the best supporting actress Oscar ahead of Australian veteran Jacki Weaver.
Weaver was nominated for Silver Linings Playbook, her second nomination in two years after her Hollywood breakthrough performance in Australian crime drama Animal Kingdom.
Adding to the Aussie Oscar woes, Hobbit nominees visual effects wizard Dave Clayton and make-up-hairstylist Rick Findlater also missed out.
Meryl Streep, left, presents the award for best actor in a leading role to Daniel Day-Lewis for "Lincoln". Picture: AP
Ang Lee pulled off a huge upset as best director for Life of Pi.
Christoph Waltz won his second supporting-actor Oscar for a Tarantino film, this time as a genteel bounty hunter in the slave-revenge saga Django Unchained.
Tarantino also won his second Oscar, for original screenplay for Django.
Best Actress winner Jennifer Lawrence takes a fall in her stride on her way to receiving her Oscar and manages a joke while keeping her dignity.
Ang Lee pulled off a major upset, won best director for the shipwreck story Life of Pi, taking the prize over Steven Spielberg, who had been favored for Lincoln.
Lawrence took a fall on her way to the stage, tripping on the steps.
''You guys are just standing up because you feel bad that I fell,'' Lawrence joked as the crowd gave her a standing ovation.
At 22, Lawrence is the second-youngest woman to win best actress, behind Marlee Matlin, who was 21 when she won for Children of a Lesser God.
Lawrence also is the third-youngest best-actress contender ever, earning her first nomination at age 20 two years ago for her breakout role in Winter's Bone, the film that took her from virtual unknown to one of Hollywood's most-versatile and sought-after performers.
With a monumental performance as Abraham Lincoln, Day-Lewis became the only performer to win three best-actor Oscars, adding to the honors he earned for My Left Foot and There Will Be Blood.
Jennifer Lawrence accepts the award for best actress in a leading role for "Silver Linings Playbook" during the Oscars. Picture: AP
He's just the sixth actor to earn three or more Oscars, tied with Meryl Streep, Jack Nicholson, Ingrid Bergman and Walter Brennan with three each, and just behind Katharine Hepburn, who won four.
Hathaway, whose perkiness helped carry her and the listless Franco through an ill-starred stint as Oscar hosts two years ago, is the third performer in a musical to win supporting actress during the genre's resurgence in the last decade.
''It came true,'' said Hathaway, who joins 2002 supporting-actress winner Catherine Zeta-Jones for Chicago and 2006 recipient Jennifer Hudson for Dreamgirls.
Hugh Jackman and Anne Hathaway, from the cast of "Les Miserables," perform during the Oscars. Picture: AP
Hathaway had warm thanks for Les Miz co-star Hugh Jackman, with whom she once sang a duet at the Oscars when he was the show's host.
Hathaway's Oscar came for her role as noble but fallen Fantine in the big-screen adaptation of the Broadway smash that was based on Victor Hugo's epic novel of revolution, romance and redemption in 19th century France.
Life of Pi also won for Mychael Danna's multicultural musical score that blends Indian and Western instruments and influences, plus cinematography and visual effects.
Host Seth MacFarlane sings 'We saw your boobs' at the Oscars. Courtesy Nine. Watch the Oscars Special on Nine 9.30 pm AEST
''I really want to thank you for believing this story and sharing this incredible journey with me,'' Lee said to all who worked on the film, a surprise blockbuster about a youth trapped on a lifeboat with a Bengal tiger.
A veteran performer in Germany and his native Austria, Waltz had been a virtual unknown in Hollywood when Tarantino cast him as a gleefully evil Nazi in 2009's Inglourious Basterds, which won him his first Oscar.
''I have to cast the right people to make those characters come alive,'' said Tarantino, who won previously for Pulp Fiction.
Seth MacFarlane has lived up to his risky reputation as Oscars host. Watch the Oscars Special on Nine 9.30 pm AEST
''And boy, this time, did I do it. Thank you so much, guys.''
Waltz has since done a handful of other Hollywood movies, but it's Tarantino who has given him his two choicest roles. Backstage, Waltz had a simple explanation for why the collaboration works.
''Quentin writes poetry, and I like poetry,'' Waltz said.
Oscar host Seth MacFarlane opened with a mildly edgy monologue that offered the usual polite jabs at the academy, the stars and the industry.
He took a poke at academy voters over the snub of Ben Affleck, who missed out on a directing nomination for best-picture favorite Argo, a thriller about the CIA's plot to rescue six Americans during the Iranian hostage crisis.
''The story was so top secret that the film's director is unknown to the academy,'' MacFarlane said.
Host Seth MacFarlane speaks onstage during the Oscars. Picture: AP
''They know they screwed up. Ben, it's not your fault.''
Argo also claimed the Oscar for adapted screenplay for Chris Terrio, who worked with Affleck to create a liberally embellished story based on an article about the rescue and part of CIA operative Tony Mendez's memoir.
Terrio dedicated the award to Mendez, saying ''33 years ago, Tony, using nothing but his creativity and his intelligence, Tony got six people out of a bad situation.''
The foreign-language prize went to Austrian filmmaker Michael Haneke's old-age love story Amour, which had been a major surprise with five nominations, including picture, director and original screenplay for Haneke and best actress for Emmanuelle Riva, who turned 86 on Oscar night and would be the oldest acting winner ever.
The top prize winner at last year's Cannes Film Festival, Amour follows the agonizing story of an elderly man (Jean-Louis Trintignant) tending his wife (Riva) as she declines from age and illness.
Haneke thanked his own wife for supporting him in his work for 30 years.
''You are the center of my life,'' Haneke said.
The Scottish adventure Brave, from Disney's Pixar Animation unit, was named best animated feature.
Pixar films have won seven of the 12 Oscars since the category was added.
''I just happen to be wearing the kilt,'' said Brave co-director Mark Andrews, who took the stage in his trademark Scottish garment.
The upbeat musical portrait Searching for Sugar Man took the documentary feature prize.
The film follows the quest of two South African fans to discover the fate of acclaimed but obscure singer-songwriter Sixto Rodriguez, who dropped out of sight after two albums in the 1970s and was rumored to have died a bitter death.
''Thanks to one of the greatest singers ever, Rodriguez,'' said Sugar Man director Malik Bendjelloul.
There was a rare tie in one category, with the Osama bin Laden thriller Zero Dark Thirty' and the James Bond tale Skyfall each winning for sound editing.
William Shatner made a guest appearance as his Star Trek character Capt. James Kirk, appearing on a giant screen above the stage during MacFarlane's monologue, saying he came back in time to stop the host from ruining the Oscars.
''Your jokes are tasteless and inappropriate, and everyone ends up hating you,'' said Shatner, who revealed a headline supposedly from the next day's newspaper that read, ''Seth MacFarlane worst Oscar host ever.''
The performance-heavy Oscars also included an opening number featuring Charlize Theron and Channing Tatum, who did a classy dance while MacFarlane crooned The Way You Look Tonight.
Daniel Radcliffe and Joseph Gordon-Levitt then joined MacFarlane for an elegant musical rendition of High Hopes.
Halle Berry introduced a tribute to the Bond franchise, in which she has co-starred, as the British super-spy celebrated his 50th anniversary on the big-screen last year with the latest adventure Skyfall.
Shirley Bassey sang her theme song to the 1960s Bond tale Goldfinger.
Later, pop star Adele performed her theme tune from Skyfall, which won the best-song Oscar.
Barbra Streisand injected some musical sentiment into the show's segment memorializing Hollywood figures who died in the past year as she sang The Way We Were, the Oscar-winning song she did in the film of the same name.
A salute to the resurgence of movie musicals in the last decade included Oscar winners Zeta-Jones singing All That Jazz from Chicago and Hudson doing And I Am Telling You I'm Not Going from Dreamgirls.
Hathaway and Jackman joined cast mates of best-picture contender Les Miserables to sing songs from their musical.
Academy officials said all performances were sung live.
Fans had pondered how far MacFarlane the impudent creator of Family Guy, might push the normally prim and proper Oscars.
MacFarlane was generally polite and respectful, showcasing his charm, wit and vocal gifts.
MacFarlane did press his luck a bit on an Abraham Lincoln joke, noting that Raymond Massey preceded Lincoln star Daniel Day-Lewis as an Oscar nominee for 1940's Abe Lincoln in Illinois.
''I would argue that the actor who really got inside Lincoln's head was John Wilkes Booth,'' MacFarlane wisecracked, earning some groans from the crowd.
''A hundred and 50 years later, and it's still too soon?''
THE WINNERS
Best Picture - Argo
Best Actor - Daniel Day-Lewis for Lincoln
Best Actress - Jennifer Lawrence for Silver Linings Playbook
Achievement in Directing - Ang Lee for Life of Pi
Original Screenplay - Quentin Tarantino for Django Unchained
Adapted Screenplay - Chris Terrio for Argo
Original Song - Skyfall by Adele Adkins and Paul Epworth for Skyfall
Original Score - Pi's Lullaby by Mychael Danna for Life of Pi
Production Design - Lincoln
Film Editing - William Goldenberg for Argo
Best Actress in a Supporting Role - Anna Hathaway for Les Miserables
Sound Editing - Zero Dark Thirty and SkyFall
Sound Mixing - Les Miserables
Foreign Language Film - Michael Haneke for Amour
Best Documentary Feature - Searching for Sugar Man
Documentary Short Subject - Sean Fine and Andrea Nix Fine for Innocents
Best Live Action Short Film - Shawn Christensen for Curfew
Make-Up and Hairstyling - Les Miserables
Costume Design - Jacqueline Durran for Anna Karenina
Cinematography - Claudio Miranda for Life of Pi
Visual Effects - Life of Pi
Animated Short Film - John Connors for Paperman
Animated Feature - Brave
Best Supporting Actor - Christoph Waltz for Django Unchained