Blatter, whose organisation is embroiled in a corruption scandal, was among a group of eight IOC members who should have sought re-election on today at a meeting in Kuala Lumpur.
He has said he will stand down as FIFA president on February 26 when an election for a new leader will be held.
IOC president Thomas Bach says that Blatter "does not deem it to be appropriate to stand for re-election for eight years knowing that after seven months his term would come to an end."
Bach thanked Blatter and other members leaving the IOC for their "great contribution" to the Olympic movement. Blatter, who has been an IOC member since 1999, did not attend the Kuala Lumpur meeting.
The FIFA president was part of an IOC commission that decided on reforms of the Olympic organisation after it was hit by a bribery scandal over the Salt Lake City Winter Games in 2002.
(File photo: Twitter/@SeppBlatter)
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