Jacksonville released Ivory on Friday afternoon.
The Jacksonville Jaguars also waived rookie defensive back Jarrod Harper, rookie running back I'Tavius Mathers and second-year wide receiver Larry Pinkard.
In his third season with the Jets, Ivory ran for a career-high 1,070 yards and seven touchdowns, making his lone Pro Bowl. Ivory signed a five-year, $32 million contract with the Jaguars before the 2016 season. He averaged just 3.6 yards per carry in two seasons with the franchise.
Ivory ran for 382 yards and a score on 112 carries last season, backing up Jaguars rookie workhorse Leonard Fournette. He made three starts in 2017 for the AFC South champions.
The Jaguars cleared more than $3.5 million in cap space by releasing the veteran running back. Jacksonville now has T.J. Yeldon on its depth chart as Fournette's top backup.