The former IMG Academy standout and Canada native is the first player to announce his intent to move on with the Lions' regular season complete. He did not play in his lone season at Penn State, and despite enrolling in January was beated out by summer enrollee Trace McSorley in the battle to be Christian Hackenberg's backup earlier this year.
"We thank Michael for his contributions to the program," Penn State coach James Franklin said, "and wish him well in his future academic and athletic endeavors."
O'Connor did not respond to a request for comment early Thursday afternoon. Potential transfer destinations are not known at this time, but the 6-foot-4, 226-pound prospect was heavily recruited out of high school.
The writing was always on the wall that he would transfer after the 2014 season, though. He was passed by McSorley despite being on campus a semester longer, and the Lions are set to bring in another quarterback, Indiana's Tommy Stevens, in the Class of 2015.
O’Connor spent his redshirt last season, so if he goes to another major-college program, he will have to sit out the 2015 season and then will have only three years of eligibility remaining.
Sources say O’Connor was not at practice Sunday, which sparked rumors of a possible transfer.