Actually that's good news, to me at least. I was never that impressed by the HFR in the Hobbit--to me, it didn't seem "more real" so much as "a different kind of fake". It was still so far removed from realistic motion that it seemed like a lot of effort for very little payoff--hardly worth retooling the film production chain for, especially when it was going to seem just as old and crusty as 24p once people got over the novelty and started clamoring to fix its shortcomings with an even higher framerate. 120p might just be sufficiently better to be worth it, IMO.
The bad news, of course, is that it involves sequels to Avatar for crying out loud.