Instead of taking over at Bayern, Rangnick will instead remain the Austria manager beyond the upcoming European Championships. He has a contract with the OFB until the 2026 World Cup.
The 65-year-old had received an offer from Bayern that was ready to be signed, but hesitated for days before making his decision. According to media reports, he had demanded a major say in squad planning.
"I'm the Austrian team coach with all my heart. I really enjoy this task and am determined to successfully continue on our chosen path," Rangnick was quoted as saying in the OFB press release.
"I would like to expressly emphasize that this is not a rejection of FC Bayern, but rather a decision for my team and our common goals.
"Our full concentration is on the Euros. We will do everything we can to get as far as possible"
On Tuesday, Bayern president Herbert Hainer said after the 2-2 draw in the first leg of the Champions League semi-final against Real Madrid that they were in"very good talks" with Rangnick. Sporting director Max Eberl also confirmed this and initially exuded optimism: "We are doing our job and we believe that we will get very, very far."
The search for a new manager now continues, with Tuchel leaving the club in the summer. Several different candidates have already been considered and said no in the search for a suitable successor.
A return of national coach Nagelsmann had been discussed at one point. Nagelsmann was Tuchel's predecessor in Munich and was dismissed in the spring of 2023. However, the 36-year-old decided against returning to his old club and instead extended his contract with the German Football Association until the summer of 2026.
Former Bayern player and current Leverkusen manager Alonso meanwhile has opted to stay put, meaning it is still very much unclear who will succeed Tuchel. Max Eberl originally wanted to announce the decision back in April.
Bayern fans recently launched a petition calling for Tuchel to remain at the helm, thanks in large part to the German leading the club to the Champions League semi-finals, where they're level 2-2 with Real Madrid ahead of the second leg.
