The 49-year-old music mogul has said several times in the last year he is considering stepping down as a judge on the TV talent show to take a back seat role, and news of his multi-billion-dollar deal with Green has sparked rumours he will leave the show very soon.
But Cowell's publicist Max Clifford said: "His contract is up for renewal and it's being discussed - that's it."
He added: "It's the hottest show on TV. There are discussions going on... I've been speaking to him in the last couple of days and he's really enjoying the X Factor.
"He's very happy about the X Factor."
Auditions for this year's series of the ITV singing show have already begun with all the judges - Simon, Cheryl Cole, Louis Walsh and Dannii Minogue - attending.
A new format has been introduced, similar to that of Cowell's other show Britain's Got Talent, where hopefuls audition in front of a live audience as well as the panel.