"It's an injury that we've known about, and he's literally battled through it," Pederson told reporters. "He wanted to be out there with his teammates for the remainder of the season. It's just to the point now where the injury is a little bit too bad for him to continue."
Nate Herbig is expected to replace Peters at right guard for the Eagles' Week 14 matchup against the New Orleans Saints. It will be Philadelphia's 12th different offensive line configuration in 13 weeks.
The Eagles moved Peters from left tackle to right guard for the team's Week 12 game against the Seattle Seahawks to help him better deal with a broken and dislocated toe, according to ESPN. Peters started at guard in each of the past two games, but he played only 58% of the Eagles' snaps during Sunday's matchup against the Green Bay Packers due to the toe ailment.
Peters, 38, is a nine-time Pro Bowl selection and a member of the NFL 2010s All-Decade Team.
The Eagles' offensive line will try to keep rookie quarterback Jalen Hurts upright in his first NFL start Sunday. Earlier this week, Pederson benched struggling starter Carson Wentz in favor of Hurts.
"He's handled it like a pro," Pederson said of Wentz. "He's gone out to practice, you see him taking reps with the service team and providing a really good look for our defense, and has done a great job in helping Jalen. He's been involved in the meetings and [it's] just what I expected."
The Eagles (3-8-1) are scheduled to host the Saints (10-2) at 4:25 p.m. EST Sunday at Lincoln Financial Field.