] Eli Biham announced new results in cryptanalyzing SHA-1,
] including a collision in a reduced-round version of
] SHA-1. The full SHA-1 algorithm does 80 rounds of
] scrambling. At present, Biham and Chen can break
] versions of SHA-1 that use up to about 40 rounds, and
] they seem confident that their attacks can be extended to
] more rounds. This is a significant advance, but it's
] well short of the dramatic full break that was rumored.
]
] Where does this leave us? MD5 is fatally wounded; its
] use will be phased out. SHA-1 is still alive but the
] vultures are circling. A gradual transition away from
] SHA-1 will now start. The first stage will be a debate
] about alternatives, leading (I hope) to a consensus among
] practicing cryptographers about what the substitute will
] be.

Answer, not a 5 alarm fire, but if you write or maintain cryptography code you can still expect some work coming up.

Followup on SHA-1 break