The Rossoneri are in crisis talks to discuss the future of the 46-year-old coach, with Pippo Inzaghi expected to be named as his temporary successor
The Rossoneri raced into a 2-0 lead in Emilia-Romagna thanks to Robinho and Mario Balotelli but were left shellshocked by Domenico Berardi's stunning four-goal salvo, with Riccardo Montolivo's late strike proving purely academic.
Milan's management is locked in crisis talks, with Allegri expected to be officially dismissed and the club's Primavera youth team boss Pippo Inzaghi installed as caretaker coach until the end of the season.
"This was a very disappointing and unacceptable performance, which confirms the urgent need of a change," Berlusconi told reporters after the defeat to Sassuolo.
Allegri, meanwhile, was in a defiant frame of mind when he emerged to face the media but admitted that he could well be relieved of his duties.
"I'm ok with myself," the Livorno native hold Rai. "I have always done my best and I'll keep on doing that if I keep my job.
"Anyway, whatever happens, I'll accept it."
Milan's loss leaves them 11th in the Serie A standings, a staggering 20 points behind third-placed Napoli.