Michigan announced the cancellation Tuesday afternoon.
Michigan's COVID situation has not improved since last week, when the school was forced to cancel its annual rivalry game against Ohio State. The Wolverines, who practiced Monday, were set to face No. 18 Iowa as part of the Big Ten's champions week.
Michigan will end its season at 2-4, the program's first losing record since going 5-7 in 2014, Brady Hoke's final season as coach. Jim Harbaugh, who has completed his sixth season at Michigan, is set to begin conversations about a possible new contract. Harbaugh's initial agreement with Michigan expires after the 2021 season, and both he and athletic director Warde Manuel said they would begin conversations after the 2020 season had concluded.
A source told ESPN's Tom VanHaaren that Michigan is unlikely to play in a bowl game this season.
Iowa, which has won six straight since an 0-2 start, could find another opponent this week if other Big Ten teams cannot play. Otherwise, the Hawkeyes will await a bowl invitation.
This marks the second Big Ten cancellation of the week, as Indiana and Purdue earlier Tuesday mutually agreed to cancel their annual rivalry contest because of COVID-19 concerns with both programs. Saturday's Big Ten title game will feature No. 4 Ohio State against No. 14 Northwestern in Indianapolis.