Ex-Real Madrid, AC Milan fullback Panucci announces retirement
The defender spent last season at Parma, but has decided to hang up his boots at the age of 37.
"I had offers from the United States, but I just don't feel the same hunger anymore," he told Sky Sport Italia.
"I thank all the teammates I ever played with, the Coaches who trained me and the clubs I worked with.
"Looking back, the most exciting moment was winning the European Cup with Real Madrid, as I was the first Italian ever to lift the trophy with that shirt."
He also amassed 54 caps and four goals for the Azzurri.