The star-studded audience and the world was in shock when the Fresh Prince took to the stage and smacked the comic around the face.
But according to Diddy – Sean Combs – it's all good and the pair have patched things up.
Speaking at the Vanity Fair bash, he said: "That’s not a problem. That’s over. I can confirm that.
"It’s all love. They’re brothers."
For those of you who aren't aware of what happened last night, basically, Smith got very angry after Rock made a joke about his wife, Jada Pinkett Smith.
Rock, 57, had taken a few shots at various members of the audience, and pointed one fairly barbed quip at Smith's wife.
Mocking her hair – which she cuts short due to her alopecia – Rock said: "Jada, can't wait for G.I. Jane 2."
After seeming to laugh at the joke, the Men In Black star got angry and stormed up onto the stage and slapped the host across the face.
At first, it wasn't quite clear whether this was a well-rehearsed 'bit' or the real deal. Well, it appears to have very much been the latter.
In footage share online from the event, as he returned to his seat, a fairly shocked Rock said: "Will Smith just smacked the s**t out of me."
Smith then shouted back: "Keep my wife's name out your f***ing mouth."
Rock then said: "Wow, dude, it was a G.I. Jane joke?"
To which Smith replied once again with: "Keep my wife's name out your f***ing mouth."
Rock then awkwardly attempted to segue into the next bit, but not before saying: "That was the greatest night in the history of television."
Smith went on to win the Best Actor Oscar for his leading role in the Serena and Venus Williams biopic King Richard.
Addressing the incident in his speech, the 53-year-old said: "I want to apologise to the academy. I want to apologise to all my fellow nominees.
"Art imitates life. I look like the crazy father, just like Richard Williams. But love will make you do crazy things."
The Oscars also responded to the incident via Twitter, writing: "The Academy does not condone violence of any form.
"Tonight we are delighted to celebrate our 94th Academy Awards winners, who deserve this moment of recognition from their peers and movie lovers around the world."
Featured Image Credit: Alamy/ABC