Tennessee had made Young the No. 3 overall selection in the 2006 NFL draft when Jackson was a second-round pick by Minnesota.
Young, 29, completed 48 percent of his passes over the Bills' first three pre-season games. He had no touchdown passes and two interceptions.
"I want to thank the Bills organizations of the opportunity and wish the organization and my teammates good luck this season," Young said via Twitter after he was released.
Young spent five seasons with the Titans before joining Philadelphia for the 2011 season. He has thrown for 8,964 yards and 46 touchdowns in 60 NFL games.
He was twice (2006 and '09) selected to the Pro Bowl. As a collegian at Texas, Young guided the Longhorns to a 30-2 record and finished second in the voting for the Heisman Trophy to Reggie Bush in 2005.
The Bills got Jackson from Seattle in exchange for an undisclosed draft choice.
Jackson started 14 of the 15 games he played for the Seahawks last year, setting career highs in attempts (450), completions (271), passing yards (3,091) and passing touchdowns (14).
He previously spent five years with the Vikings and has totaled 7,075 yards, 38 touchdowns and 35 interceptions in 51 career games.