Initial results posted by Israel's three major stations show Blue and White party Leader Benny Gantz, shown speaking at the party's headquarters on Wednesday, being tied or with a slight lead over Netanyahu's Likud.
Netanyahu's surprise move was an abrupt change of strategy for the right-wing leader.
Netanyahu's comments reflected his heightened political vulnerability after again failing to security a parliamentary majority, following an inconclusive election in April.
The Central Election Committee (CEC) said that Blue and White party seemed to be taking the lead over Likud after 91% votes were counted.
Contradicting Netanyahu's call for a broad unity coalition, the paper reports that Netanyahu promised the right-wing factions that he would not form such a government with Gantz. Lieberman said after the poll result that he would form a unity government with Gantz's party and the Prime Minister's Likud party. The nation expects us, the both of us, to work together.
Israeli political analyst Mayer Cohen said the results showed that voters were exhausted of Netanyahu, Israel's longest-serving prime minister.
The final election results can take more than a week, but partial results are published by the Knesset, Israel's national legislature, as the vote-counting proceeds, so a clearer picture will likely emerge within a day before the final tally.
"The time has come for you to tell Netanyahu, "thank you for all you've done", Yaalon urged Likud members - who have shown no sign so far of rebellion.
Mauricio Pochettino accuses Tottenham players of 'disrespect' after Olympiacos draw
Tottenham face Bayern Munich next in the group, before back-to-back matches against Red Star Belgrade. At this level, you need to match your opponent.
ECB Cuts Rates, Announces New QE Program, EURUSD Slumps Below 1.10
Most economists in a new Reuters poll believed the trade dispute will worsen or at best stay the same over the coming year. However he may choose to bow out, Draghi's eight-year term looks set to end with a most hard and unenviable choice.
Democratic donor Ed Buck charged for running drug den
It is alleged by Moore's mother that Buck "injected her son with a lethal dose of crystal methamphetamine", CNN.com reported . Moore subsequently struggled with addiction and at the time of his death was homeless and working in the sex trade.
Many Israelis started to fear Mr Netanyahu was trampling on important democratic institutions and protesters calling him the "crime minister" took to the streets earlier this year.
He told reporters he had not spoken to Netanyahu since Tuesday's ballot and said: "Our relationship is with Israel".
Final votes are being counted, but yesterday's parliamentary election ended with no victor between Prime Minister Benjamin Netanyahu's party and his challenger, retired military chief Benny Gantz.
Neither would therefore be able to form a majority coalition without support from Yisrael Beiteinu, whose leader Avigdor Lieberman has called for a "broad, liberal" unity government.
Gantz, a political newcomer, has not ruled out a unity administration with Likud. Many voters saw him as a "Mr Clean", an alternative to Netanyahu and the cloud of alleged criminal misdeeds hanging over him. "Let's meet today, at any time, any hour, in order to initiate this process that is the order of the hour. I don't like the idea of a unity government", he said.
And Netanyahu was also supposed to meet President Trump on that trip to discuss a possible defense treaty between the US and Israel.
Trump noted, "Everybody knew it's going to be very close". He focused his campaign nearly entirely on Netanyahu's personal scandals and divisive tactics, presenting himself as the only clean and responsible alternative, thereby underscoring the lack of any political vehicle through which the working class could express its opposition to the financial elite on whose behalf Israel's militaristic and corrupt politicians speak. Foreign Minister Israel Katz is said to attend in Netanyahu's stead.