Edwards is now an unrestricted free agent, though he may not sign with a new team until the offseason.
The struggling wide receiver was released on Tuesday three months after undergoing surgery on his right knee that limited him.
Edwards tweeted the news early Tuesday, attributing the move to his injury, which "required more time to rehab and hasn't allowed me to re-sync with the offense."
The 49ers later confirmed Edwards' release.
"I wish the 49ers organization the best of luck during the playoffs," Edwards said in a statement on his website. "I will be working hard this offseason to strengthen my knee and prepare for the 2012 season. Thanks for your continued support and for being such loyal fans."
San Francisco still needs to add a receiver. Ted Ginn Jr., is nursing a left ankle injury sustained on the second-half kickoff return against Pittsburgh on Dec. 19, while Kyle Williams went down with a head injury in last Saturday's 19-17 win at Seattle. Versatile tight end Delanie Walker also was hurt against the Seahawks, suffering a jaw injury; it is believed to be broken. The team hopes to get him back for the playoffs.
Information from The Associated Press was used in this report.