HBO's The Larry Sanders Show is known for its brutally candid portrayal of the TV biz; next season, it might take that realism to new heights. Just as plotlines on the show have featured Jon Stewart angling to take over Garry Shandling's hosting chair, Stewart could do just that in real life should Shandling make good on threats that the upcoming season is his last.

"There have been discussions between Jon and Garry," admits a source close to the situation. "One scenario is for Jon to return this season, then spin it off into his own show."

Stewart may have to do some juggling to get the gig: He's under contract to David Letterman's Worldwide Pants to develop, among other things, a late-night talker for CBS, and he's already a guest host for Tom Snyder on the Eye's Late, Late Show. Sanders producer Brillstein-Grey Entertainment and Stewart declined to comment.