"Chelsea Football Club and Antonio Conte have parted company", the London outfit said on their website.
The club even had the audacity to separate Conte from his achievements while at Chelsea, explaining that "during Antonio's time" they won a "sixth league title and eighth FA Cup".
"The club decides every player", he moaned last season.
Before joining Chelsea, Conte had only coached in his native Italy, leading Juventus to three consecutive Serie A titles from 2012-14 before taking over the national team at Euro 2016.
Conte led Chelsea FC to the Premier League title in his first season in charge after the Blues finished seven points ahead of their closest title challengers Tottenham Hotspur.
Conte however won the FA Cup in his final match in charge. Negotiations for the highly-rated manager's payoff have accelerated over the last 48 hours and are nearly completed.
Conte's future with the Roman Abramovich-owned club has looked uncertain for months, however, with the West Londoners failing to qualify for the coming season's Champions League after finishing fifth last season.
Chelsea legend Gianfranco Zola and Giovanni Martusciello are expected to join Sarri's backroom staff while Italian-Brazilian midfielder, Jorginho, is now undergoing a medical at Cobham and will also follow Sarri from Naples to London.
Chelsea believe Conte's behaviour effectively breached the terms of his contract as manager.
"Thank You Boss", Terry posted on Instagram alongside a photo of the two of them holding the Premier League trophy.