Pierre Berbizier will quit as Azzurri coach after this autumn's World Cup in France, the Italian Rugby Federation (FIR) has announced.
The surprise news is a major blow, as the legendary former France scrum-half recently led Italy to their best ever Six Nations.
His side beat Scotland away (17-37) and Wales (23-20) at home to register two wins in the Six Nations for the first time since Italy joined the competition in 2000.
Berbizier, who replaced former All Black John Kirwan on the Azzurri bench in April 2005, said he wants to return to his homeland to be able to spend more time with his family.
There is also speculation that French second-division outfit Racing Club de Paris have made him an offer.
The FIR reportedly offered Berbizier a highly lucrative new deal, but he opted not to renew his contract when it expires at the end of October.
"I'm sorry Berbizier has chosen to return to France, but I respect his decision," said Italy captain Marco Bortolami.
"We have achieved excellent results with him and it's a shame he's going".
Berbizier promised that his decision to quit will not damage Italy's performances at the Rugby World Cup.
L'Aquila prop Andrea Lo Cicero suggested it may even fire the Azzurri up.
"I'm very sorry because Pierre is a lovely person, as well as an excellent coach," said Lo Cicero who, according to some reports, may follow Berbizier to Racing Club.
"Now we'll have to win for him at the World Cup in France. We'll give our all not just for ourselves, but also to enable our coach to cut a fine figure, because he deserves it".
As well as securing important victories, Berbizier has also managed to complement Italy's formidable pack with some menacing back play - something his predecessors Kirwan and fellow Kiwi Brad Johnstone failed to do.
Berbizier coached France between 1992 and 1995. He led Les Bleus to the 1993 Five Nations and the 1995 World Cup semi-final, which they lost 19-15 to eventual winners South Africa.
The 48-year-old played scrum-half for France 56 times between 1981 and 1991, winning six Five Nations, including two Grand Slams.
He shared the title of best player in the 1987 World Cup - which France lost 29-9 to New Zealand in the final - with Kirwan.
FIR President Giancarlo Dondi has said he wants to find Berbizier's replacement quickly to create the conditions for a "soft transition".
Dondi wants the new coach to follow Italy at the World Cup so he is ready to take over the reins and prepare for the 2008 Six Nations, which start just four months later.
The FIR chief has also said he is looking to appoint a French coach.
This would be in line with the widely held sentiment here that the French rugby style is better suited to the Azzurri than the approaches of the British and southern hemisphere nations.
The Italian sports press have mentioned the names of successful club coaches Gilbert Doucet and Laurent Seigne.
Dondi may even opt to reinstate Georges Coste, the Frenchman who built the great side of the 1990s that earned Italy their place in the Six Nations.
Coste is the supervisor of Italy's junior national teams at the moment.
