Gonzalez sprained ligaments in his right knee in the season opener and later had arthroscopic surgery on the knee, delaying his return.
On Monday, team president Bill Polian said on his radio show that Indianapolis hoped to have Gonzalez practice this week so he could play in the final two games of the season in preparation for the playoffs. Gonzalez practiced Monday but sat out Wednesday, prompting Thursday's announcement.
Gonzalez was Indy's first-round draft pick in 2007 and was expected to fill in for franchise receiving leader Marvin Harrison, who was released in an offseason cost-cutting move.
The Colts (14-0) have wrapped up the AFC's top playoff seed.