Hannity was a long-time ally of Fox News co-president Bill Shine, who resigned from the network Monday morning.
Shine was named co-president of Fox News a year ago when chairman Roger Ailes was ousted in the wake of a sexual harassment suit filed by former anchor Gretchen Carlson. Suzanne Scott has been named president of programming, and Jay Wallace is president of news, Murdoch said in the statement.
Fox News has been a successful conservative-leaning news network.
Amid the Hannity rumors are others about the fate of the network as a whole. O'Reilly was essentially fired from the network in April.
And questions are unlikely to die down. Supposedly, Hannity was even trying to throw some of his weight around at the network to make sure that Shine stayed on board, suggesting that he could threaten to quit if the Murdoch family-which has been running Fox News since Roger Ailes left-decided to let Shine go. Shine was named to replace his longtime boss, Roger Ailes.
Shine, who was Ailes' right-hand man for two decades, was never accused of harassment himself.
"I just don't see Fox News and Sean having a long relationship", a source toldMediaite.
FOLKENFLIK: Shine's answer was obviously yes.
The changes comes as the 86-year-old Murdoch has been gradually withdrawing from his media-entertainment empire and turning over more duties to his sons James and Lachlan.
Recognizing that Hannity exaggerates from time to time, Shine is an important figure in Fox News history. Last week on Twitter, Hannity said Shine's firing would be the total end of Fox News. But a close friend of Hannity said that's not the case: "He didn't leave for Ailes". And now, Bill Shine is gone. Smith was the attorney who represented Gretchen Carlson. Scott's name is mentioned in Roginsky's lawsuit accusing Ailes of sexual harassment.
The contract Hannity signed would end in 2020, but could end earlier if Hannity chose to exercise a clause allowing him to leave after Ailes' departure. Fox News's leadership, including Shine, had been aware for years of multiple complaints against O'Reilly, its top-rated primetime star.
O'Reilly was forced out last month, despite the support of the president. Lisa Bloom was Walsh's lawyer.
But later in the week, reportsemerged that Murdoch was looking for a female executive to help run Fox News.
Earlier on Monday, Fox News reporter Diana Falzone sued the company, saying that she was banned from appearing on air for the network and its affiliated website after she wrote an article about her experience suffering from endometriosis.
But Scott, like Shine, has also been implicated in some of the lawsuits against the network.
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