Paramount has hired Director Kevin Greutert (who was editor on the Saw movie series and directed Saw 6) to helm the movie sequel to Paranormal. And Screenwriter Michael R. Perry is in working on the script.
I'm a surprised that Oren Peli isn't directing Paranormal 2, but he's still involved, to a certain extent, as producer. And he seems confident that Director Kevin Greutert and Scriptwriter Michael Perry will be up to the task:
The release date of Paranormal Activity has been set for October 22, 2010. So it's quite clear that they want to eclipse Lionsgate's Saw franchise, with their own Paranormal Activity franchise.
Hope to get some plot details of Paranormal Activity 2 soon!
Update: Kevin Greutert lost the job because Lionsgate finally didn't want to let him go, so it's Director Tod 'Kip' Williams who will actually direct Paranormal Activity 2.
Tod Williams previously helmed "The Door In The Floor", and as far as I know doesn't really any experience in supernatural horror movie... But let' hope he will manage to surprise (and scare) us!