Martin O'Neill had been in charge since 2013, leading the country to the last 16 of Euro 2016.
O'Neill, who led Ireland out of the group stage of the European Championships for the first time and was just one game away from qualifying for their first World Cup since 2002 this time a year ago, has endured a torrid 2018.
Dundalk manager Stephen Kenny is being backed by Betfair punters to replace Martin O'Neill as Republic of Ireland manager after the FAI confirmed the departure of the former Leicester and Aston Villa boss this morning.
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It brings an end to a awful run of results in 2018, with just four goals in nine games.
O'Neill and his coaching team, including Roy Keane, were relieved of their duties after the Republic failed to win a competitive match in 2018 and were relegated from Uefa Nations League Group B4. "There have been many highlights during Martin's reign - none more so than Euro 2016 in France, which will live long in the memory of all Irish supporters".
"He ran the best EUROs campaign in Ireland's history and followed that by making it out of a tough group to reach the play-offs for the 2018 FIFA World Cup".
"It was one of my lifetime ambitions to take charge of the Irish senior squad and I would like to thank the FAI board for giving me that opportunity", he said in a statement released by the England-based League Managers Association.