Marseille midfielder Dimitri Payet also misses out.
Deschamps left the young duo out, despite being happy with the pair.
"He was a serious candidate for a place in the 23 but for this kind of injury it's usually three weeks of recovery", said Deschamps. "This is a muscular injury, with a risk of a relapse".
France, runner-up at the European Championship two years ago, opens its World Cup campaign against Australia on June 16. They then face Peru five days later before their final group fixture with Denmark on June 26.
"Steven has technical skills and an imposing height, he plays in the same fashion as N'golo Kante", Deschamps said.
In defence, Djibril Sidibe and Benjamin Mendy were included after recovering from injuries.
Laurent Koscielny was another French player set to miss out on World Cup following his Achilles injury.
Reserve list: Wissam Ben Yedder (Sevilla), Kingsley Coman (Bayern Munich) Benoit Costil (Bordeaux), Mathieu Debuchy (Saint-Etienne), Lucas Digne (Barcelona), Alexandre Lacazette (Arsenal), Anthony Martial (Manchester United), Adrien Rabiot (PSG), Mamadou Sakho (Crystal Palace), Moussa Sissoko (Tottenham), Kurt Zouma (Stoke City - on loan from Chelsea).
As expected, Real Madrid striker Karim Benzema is not in the squad after being snubbed since being involved in a sex tape-blackmail scandal in 2015.
Les Bleus have a wealth of options up front, with the likes of Antoine Griezmann, Kylian Mbappe, Ousmane Dembele and Chelsea's Olivier Giroud named in the squad.
Giroud's Chelsea team-mate N'Golo Kante has also been included, while Tottenham goalkeeper Hugo Lloris, Manchester City left-back Benjamin Mendy and United midfielder Paul Pogba are the other England-based players in the party.