Football Federation Australia chairman Frank Lowy bristled at suggestions that soccer's bubble would burst after leading sports administrator John O'Neill announced he was stepping down in March.

O'Neill's departure as chief executive is the second major loss in just months for Australian soccer after master coach Guus Hiddink swapped the Socceroos for Russia.

Under O'Neill's guidance, the code has enjoyed a golden run that has included entry into the Asian Confederation, a successful new domestic A-League and reaching the last 16 at this year's World Cup in Germany.

O'Neill said he'd made no decisions about future employment.

"Well look, I don't think I could call it good news," Lowy said in announcing O'Neill's departure.

"But the partnership worked very well and now I will form a partnership with another person."

While Lowy said he and O'Neill had been "no shrinking violets" in putting their ideas forward in meetings, he denied that "creative differences" had ever been a concern and added they always managed to reach an unanimous decision on FFA issues.

Lowy described the now vacant FFA chief executive's role as the most coveted job in Australian sport.

"The country is hungry for football," Lowy enthused, quoting crowd figures from last week's opening round of the second season of the A-League, with over 55,000 people attending three Australian games.

Lowy reacted sharply to a reporter's question suggesting FFA had "lost" Hiddink to Russia after the Dutchman led the Socceroos to the final 16 of this year's World Cup.

"First of all we haven't lost a high-profile coach because we have signed him for that period of time and he fulfilled his contract," Lowy said.

He said Hiddink's World Cup assistant Graham Arnold was doing a good job as caretaker coach of the Socceroos.

"I don't think we need to panic about anything. When that person is found, we will engage him," Lowy said.

Asked if soccer's dream run in Australia was over, Lowy said: "There's no such a thing in my opinion, the bubble has burst.

"Why would it burst?"

Lowy said he had wanted O'Neill to sign on for a further four years, but the former banking whiz had indicated he wanted a change of direction when his three-year term expires on March 7.

"I stopped trying because you also have to know when to call it a day," Lowy said.

O'Neill, 55, described his time running the FFA as "very demanding" but also "fantastic".

"We've achieved a lot. The achievements of the Socceroos at the World Cup, the entry into Asia and the establishment of the A-League have fantastic foundations," he said.

"I ran a bank for eight years, I've run rugby for eight-and-a-half years and I've now had the privilege of running football for three years.

"It's a big call to commit another four years. I've had 12 years running sporting organisations and I just felt ... collectively it just seemed like the time to step back a bit and reflect on what I wanted to do."

Lowy said O'Neill was keen to be involved with FFA in some capacity in the future. Lowy himself has committed to another four-year term as FFA chairman.

"The sport's in great shape and can only get better," O'Neill said.

"A different type of manager can come in and pick up where I've left off."

O'Neill said rebuilding Australian soccer suited his talents, but the finer brush strokes should now be left to a different type of CEO who could "see the level of detail that now has to go into the next period.".

"To a certain extent it's been the Frank and John Show for three years," O'Neill said.

"We had some questions about the new board coming in place in November, so there is a different era about to commence.

"The Frank and John Show has been very effective. These foundations now need to be built on."

O'Neill deflected several questions about a possible return to rugby administration.

"I'm just taking the next six months to think about it. I haven't had approaches from anyone in rugby to go back there," he said.

"I was 35 when I took over the State Bank and I'm now 55. It's been a fantastic 20 years of running things and I'd like to continue to run something.

Soccer's Olympic status has exposed O'Neill to the workings of the most prestigious body in world sport and he and Australian Olympic Committee president John Coates are close confidants.

He is known to have enjoyed playing a minor role in the Olympic movement and further involvement could appeal to O'Neill's ambitions.

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