The Azzurri coach admits defeat to Norway on Friday night in their World Cup qualifier has brought about the decision.
Spalletti will be in charge for the qualifier against Moldova, but he says at the final whistle he will seek to "terminate" his contract. The decision being made after talks with FIGC president Gabriele Gravina yesterday.
“We spoke last night and they told me that I will be relieved of my position as national team head coach,” Spalletti said during a pre-match press conference on Sunday.
“I was sorry, given the relationship we have, I had no intention of giving up,” he continued.
“I would have preferred to stay and do my job, especially when things aren’t going well. However, if it’s a dismissal, then I have to accept it. I have always seen this role as a service to the homeland, and I want to help the future of the national team.
“I think it’s right to look for the best, I will terminate my contract. I’ll be there tomorrow night against Moldova. I have always maintained that my players are strong. The results under my management are what they are and I have to take responsibility.”
Nothing confirmed
Claudio Ranieri, now a director at Roma, and Al Nassr coach Stefano Pioli are early candidates for the post, though in the morning Gravina insisted all was fine.
He said before Spalletti's press conference this afternoon: "There is no appointment set for Tuesday, there is constant contact. I talk a lot with Luciano, we spoke last night until late.
"He is a very responsible person, I congratulate him. Today we will continue to talk and then we will see what comes out."