The 44-year-old guided the club to 18th in the Championship, securing nine wins from 26 games, and suffered elimination in the third round of the FA Cup to Luton Town on Saturday
The 44-year-old Norwegian guided Wolves to 18th in the Championship, securing just nine wins from 26 games, while the club suffered an FA Cup third-round exit at the hands of non-league Luton Town on Saturday after a 1-0 defeat at Kenilworth Road.
A statement issued from Wolves cited the side's poor form and elimination in the FA Cup as the main reason behind Solbakken's sacking.
Assistant manager Johan Lange and first-team coach Patrick Weiser have also been dismissed. The club's head of football development & recruitment, Kevin Thelwell, will take charge until a new manager is appointed.
Solbakken was named Wolves boss in May 2012 after the club suffered relegation from the Premier League, and officially took over from Terry Connor last summer.
A statement from Wolves read: "Wolves have announced that Stale Solbakken has left the club with immediate effect. The club has also terminated the contracts of Johan Lange, assistant manager and Patrick Weiser, first-team coach.
"Wolves are currently 18th in the npower Championship and have won three out of the last 16 league games after a hugely disappointing run of performances and results, culminating in Saturday’s FA Cup third round defeat to Luton Town.
"Kevin Thelwell, head of football development & recruitment, will take charge of first team training until a new manager is appointed, assisted by development coach, Steve Weaver.
"The club would like to offer their thanks and best wishes to Stale, Johan and Patrick."