Speculation over Ranieri's future had begun to grow throughout the season due to the Foxes' domestic struggles, with the defence of their remarkable title success quickly turning into a relegation battle.
Leicester have failed to even score in the Premier League since the turn of the year, picking up just one point from a possible 18 in 2017 so far to leave them only one clear of the relegation zone.
However, the Foxes did manage to progress from the group stages in their maiden Champions League campaign and are still in their last-16 tie with Sevilla having scored a crucial away goal in Wednesday's 2-1 first-leg defeat.
That result was not enough to save Ranieri, though, with the Daily Mail reporting that he has now been relieved of his duties despite last season's heroics.
It will be seen by many as a harsh decision by the board, with Ranieri having steered the club to their first ever top-flight title against 5,000-1 odds last season - arguably the greatest achievement in English football history.
Official confirmation of the 65-year-old's exit is yet to arrive from the club.
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