Gennaro Gattuso's reign as Italy manager ended on Friday, the country's football federation (FIGC) said, after the national team's failure to qualify for the World Cup.
Italy lost Tuesday's playoff final in Bosnia on penalties and the four-times champions have now missed out on three consecutive World Cups.
Gattuso's departure came a day after FIGC President Gabriele Gravina resigned, and national team delegation head Gianluigi Buffon stepped down from his role.
"With a heavy heart, having failed to achieve the goal we had set ourselves, I consider my time in charge of the national team to be over," Gattuso said in a statement.
"The Azzurri shirt is the most precious asset in football, which is why it is right to facilitate future technical assessments with immediate effect.
"It has been an honour to lead the national team, and to do so with a group of lads who have shown commitment and loyalty to the shirt."
The FIGC thanked Gattuso for his work.
"The Italian Football Federation (FIGC) and Gennaro Ivan Gattuso have mutually terminated the contract that bound the Calabrian coach to the helm of the Italian national football team," the FIGC said in a statement.
"The FIGC thanks Gattuso and his entire staff for the professionalism, dedication and passion with which they have worked over the past nine months and wishes them every success in their future careers.
GATTUSO APPOINTED ON ONE-YEAR CONTRACT
Gattuso was appointed in June on a one-year contract, replacing Luciano Spalletti who was sacked following Italy's 3-0 defeat by Norway in their opening group game, although he remained in place for the 2-0 win over Moldova the next day.
Italy won their next five group games under Gattuso, but given Norway's far superior goal difference, they were resigned to another World Cup playoff before the final group game, which Norway won 4-1 at the San Siro.
Italy had lost at the playoff stage of the last two World Cups, but looked on course to make it this time after a 2-0 win over Northern Ireland in the semi-final, before it all fell apart in Bosnia.
Gattuso's 10-man team let slip a 1-0 lead and crumbled in the penalty shootout.
After the loss in Zenica, Gattuso said it was not the time to speak about his future, but once Gravina made his decision to step away, it was a matter of when Gattuso would follow.

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