Baltimore announced the move on Tuesday afternoon. Woodhead, 33, signed with the Ravens last offseason. He had 56 yards on 14 carries and 33 receptions for 200 yards in eight appearances during the 2017 season.
Woodhead left the Ravens' Week 1 game against the Cincinnati Bengals last season with a hamstring injury and was placed on injured reserve on Sept. 14. He returned to practice two months later and returned to game action on Nov. 19 against the Green Bay Packers.
The nine-year NFL veteran joined the New York Jets in 2009 as an undrafted rookie free agent. He signed with the New England Patriots during the 2010 season and spent three seasons in Foxborough, but did not win a Super Bowl.
Woodhead joined the San Diego Chargers in 2013, where he spent four seasons, before joining the Ravens. The Chadron State product hauled in 80 receptions for 755 yards and six scores, while rushing for 336 yards and three scores in 16 games for the Chargers in 2015.
For his career, Woodhead has 2,238 rushing yards and 15 scores and 300 receptions for 2,698 yards and 17 touchdowns.
"Thanks to the Ravens organization for the last year! Can't wait for my next stop! God is so good," Woodhead tweeted after being released.
The Ravens saved $1.8 million agains the salary cap by releasing Woodhead. The running back has played in just 10 games in two seasons due to numerous injuries.