Unai Emery has been sacked as Arsenal manager following the 2-1 Europa League defeat at home to Frankfurt.
Sources told ESPN FC after that loss that Emery's position was untenable, following Arsenal's worst run in 27 years.
The club are winless in all competitions in seven games and sit eight points behind fourth-place Chelsea in the Premier League after just 13 games this season.
"Our most sincere thanks go to Unai and his colleagues who were unrelenting in their efforts to get the club back to competing at the level we all expect and demand," Josh Kroenke said on behalf of the club's board. "We wish Unai and his team nothing but future success.
"The decision has been taken due to results and performances not being at the level required. We have asked Freddie Ljungberg to take responsibility for the first team as interim head coach. We have full confidence in Freddie to take us forward. The search for a new head coach is underway and we will make a further announcement when that process is complete."
The Frankfurt game was played in front of a half-empty stadium and a group of Arsenal supporters unveiled "Emery Out" banners.
Emery, who won three Europa League titles as Sevilla boss and the Ligue 1 title with Paris Saint-Germain, signed a two-year deal with the option of a third in 2018.
After succeeding Arsene Wenger in May 2018, Emery led Arsenal to the Europa League final in his first campaign in charge but the Gunners failed to qualify for the Champions League.
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In total, Emery managed 51 Premier League games in total, winning 25, losing 13 and drawing 13.
Wolves boss Nuno Espirito Santo has been linked with the position but he said it would be "disrespectful" to comment on the situation.
"I think you know me well enough and you know that I'm not going to answer about that," he said earlier this week.
"I will never mention an issue that's not a reality. Mainly speaking about a job that has a manager on it. It would be disrespectful."