Opening Sequence: Sean Connery enters and says: "For more than a hundred years, the world has been fascinated by the movies. They are more than just an entertainment; they are the force that binds us together, a common link that touches the humanity of all of us. And that's why we love to watch the movies. And so tonight our Academy invites the world to celebrate the magic of going to the movies. Enjoy!"

A film sequence begins of people going to the movies. In a theatre audience we see Billy Crystal, who is eating Cracker-Jacks. In the box he finds a gold ring, which he puts on his finger. He's transported onto the movie screen, and arrives naked in a desert landscape (Terminator 3). A movie trailer begins with Crystal on the top mast of a sailing ship at sea with Russell Crowe (Master and Commander). The trailer montage inserts him into scenes from Pirates of the Caribbean, The Lord of the Rings III, Seabiscuit, Finding Nemo, Monster, Something's Gotta Give, Mystic River, Cold Mountain and The Last Samurai. The film we're previewing is called "The Return of the Host," and Crystal is worried about going back to hosting the Oscars after three years. Jack Nicholson, dressed as Gandolf, gives him a pair of magic sunglasses and tells him to "Light 'em up, Bill." Crystal repeats, "Light 'em up," put on the sunglasses, and then (to the strains of "It Had To Be You") appears live on-stage.

He begins his opening monologue, then goes into his "It's a Wonderful Night for Oscar" medley, arrainged by music director Marc Shaiman. Songs include tributes to Best Picture nominees Mystic River (to "Ol' Man River), Lost in Translation ("Sophia" to "Maria" from West Side Story), The Lord of the Rings: The Return of the King (to "My Favorite Things"), Seabiscuit (to "Goldfinger") and Master and Commander: The Far Side of the World (to "Come Fly With Me").