The nine-year National Football League veteran from North Platte, Nebraska, signed a three-year deal with the Ravens last offseason worth $8.8 million, but injuries hampered his one season in Baltimore.
The 33-year-old Woodhead appeared in only eight games last season due to a hamstring injury suffered in Week 1.
In the last two seasons he has played all 16 games Woodhead had 76 (2013) and 81 receptions (2015), with six receiving touchdowns in each, and he averaged over four catches per game previous year. He returned to practice two months later and returned to game action on November 19 against the Green Bay Packers.
An undrafted free agent out of Chadron State in Chadron, Nebraska, Woodhead's National Football League career began as a member of the New York Jets.
Alex Collins totaled 973 rushing yards and 4.6 yards per carry in his 15-game sophomore campaign, all but winning the starting role in the Baltimore backfield. "God is so good", Woodhead tweeted after being released.
Between those two seasons, Woodhead averaged 383 rushing yards and 2.5 rushing touchdowns to go along with 78 receptions for 680 yards and six scores. The Ravens will create $3 million in cap space by not picking up the option.