On 'Good Day New York,' (weekdays, 9AM ET on Fox) Lynch said she's not holding a grudge against former Oscars producer Bret Ranter for his controversial comments that started it all. "I don't think he meant to say that gay people are bad," she said.
And it looks like fans of the comedian are getting their wish.
"Am doing the Oscars so the young woman in the pharmacy will stop asking my name when I pick up my prescriptions. Looking forward to the show," Crystal tweeted.
He went on, "Big thanks to NBC, Fremantle, and of course, my friend Simon Cowell, for giving me such a great opportunity. It's been a blast." He also congratulated his colleagues on the show -- Sharon Osbourne, Howie Mandel and Nick Cannon: "You don't have to put up with me any more!"
UPDATE: Brian Grazer has accepted the job as Oscar producer, replacing Ratner, which the Academy of Motion Picture Arts and Sciences confirms. "It's very gratifying to be part of a show that honors excellence in the medium to which I have devoted so much of my career, said Grazer.
There's no word on who will replace Murphy yet ... but that's where you come in.
AOL TV fans on Twitter, Facebook and Tumblr have come alive with suggestions, including popular choices like The Muppets and Tina Fey.
Check out some of our favorite suggestions here!
UPDATE: Brian Grazer has accepted the job as Oscar producer, replacing Ratner, which the Academy of Motion Picture Arts and Sciences confirms. "It's very gratifying to be part of a show that honors excellence in the medium to which I have devoted so much of my career," said Grazer.
"First and foremost I want to say that I completely understand and support each party's decision with regard to a change of producers for this year's Academy Awards ceremony," Murphy said in a statement. "I was truly looking forward to being a part of the show that our production team and writers were just starting to develop, but I'm sure that the new production team and host will do an equally great job."
Ratner stepped down after a series of gaffes and blunders. First, 'Tower Heist,' his flick starring Murphy, bombed at the box office over the weekend. Then, while promoting the flick, Ratner used a gay slur, saying "rehearsals are for fags."
But the leather suit comment prompted a question of if he still had the one from 'Delirious' or not. It turns out he did, but it got totally destroyed in a prank one night. According to Murphy, Keenen Ivory Wayans put on the suit one night, which looked hilarious because Wayans is much taller than Murphy.
"The first thing that came out of my mouth was, 'I'm not doing one of those crazy dance numbers,'" Murphy said.
"That's exactly what you're gonna be doing," Letterman responded, so we'll see who turns out to be right. Will Murphy stand his ground, or be pressured into giving a musical performance. We'll all find out February 26, 2012 when 'The 84th Academy Awards' hits the airwaves.
They covered his work on 'Saturday Night Live,' where he played everyone from Stevie Wonder to Buckwheat, his hit stand-up specials like 'Delirious,' and blockbuster films like 'Beverly Hills Cop.'
The piece also showed an interview clip from shortly after Murphy's Golden Globe win for 'Dreamgirls' in which he indicated he wanted to try some new things. "I've been in the movie business for a while but still a relatively young man," he said, "so I want to get to try and do some different stuff. So when I look back on, when I'm really old I can look back and be like, wow, I did everything."
I keep expecting this whole 'Eddie Murphy hosts the Oscars' thing to be a faulty meme, but now that the news is confirmed, I guess I'll have to come to grips with it. Okay -- done. After all, Murphy is one of the highest-grossing movie stars of all time, can be very very funny, and has proven he can still be funny without using swears ('Shrek'). He has been nominated for "The Statue." (And who can hold it against him if he left the theater shortly after he lost it to Alan Arkin?)
Truth is, the most shocking thing about this whole whirlwind of a story is that Brett Ratner is co-producing the Oscars. Has the Academy looked at his resume lately? What am I saying? These are the same people who thought James Franco and Anne Hathaway were the answer to their problems.
It will be Murphy's first time hosting the awards ceremony. The 'Shrek' star, who was nominated for an Oscar in 2006 for 'Dreamgirls,' said of his selection, "I am enormously honored to join the great list of past Academy Award hosts from Hope and Carson to Crystal, Martin and Goldberg, among others."
'Rush Hour' director Ratner said that "Eddie is a comedic genius, one of the greatest and most influential live performers ever. With his love of movies, history of crafting unforgettable characters and his iconic performances -- especially on stage -- I know he will bring excitement, spontaneity and tremendous heart to the show Don and I want to produce in February."
According to Deadline, producer Brett Ratner has just one name on his wish list this year -- Murphy's -- and is expected to present his top host choices to the Academy of Motion Picture Arts & Sciences in a meeting on Tuesday.
Hathaway and Franco were universally panned for their performances as Oscar co-hosts last year -- her for being too peppy, him for being too blase -- so choosing a well-known, experienced comedian for the job could please the critics.
"Then I was at sea, and I tried to start and I knew I had no idea," she said. "I couldn't get a thought in my head." It just slipped out, she said -- not something she meant to do. She noted she has worked in network television and knows you can't use profanity. "I know those rules," she said. "On purpose, never."
Good thing her day job on 'Treme' is on HBO, where she can drop as many F-bombs as she wants.
At the start of the interview, Ellen DeGeneres surprises Leo with a swear jar and a tiny pair of earphones to shield her Oscar from any possible profanity. Then, Leo explains that curse words are simply part of her regular vocabulary. "It's part of my vernacular, part of my upbringing," she said.
Goldberg, who has herself hosted the Oscars four times, specifically pointed to Melissa Leo's F-bomb during her acceptance speech for Best Supporting Actress, and said that such a gaffe requires strong hosts to keep the show moving forward.
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