He was dismissed at a meeting with executive vice-chairman Ed Woodward at
the club's Carrington training ground shortly after 0800 BST.
Moyes, 50, was chosen by Ferguson as the man to succeed him when he retired after 26
years in charge last summer.
Player-coach Ryan Giggs is expected to take charge of United's next game at
home against Norwich on Saturday.
The BBC understands coaches Steve Round and Jimmy Lumsden have also left their posts, but goalkeeping coach Chris Woods and first team coach Phil Neville will remain with the club for the rest of the season.
United had refused to comment on national newspaper reports on Monday that Moyes - who left Everton to sign a six-year deal with the Premier League champions - would be dismissed before the end of the season.
But in a statement on Tuesday the club said it "would like to place on record its thanks for the hard work, honesty and integrity he brought to the role".
Netherlands coach Louis Van Gaal, Borussia Dortmund boss Jurgen Klopp, Atletico Madrid's manager Diego Simeone and Paris St-Germain's Laurent Blanc have already been tipped as possible successors to Moyes.
United, who lie seventh in the table with four games remaining, are guaranteed to record their lowest points tally in the Premier League having struggled at Old Trafford in particular this season.
Under Moyes, they have lost six league games at home, been beaten in the FA Cup by Swansea at Old Trafford and were unable to prevent Sunderland knocking them out of the Capital One Cup in the semi-finals.
In March, some supporters chartered a plane to fly
overhead during their Premier League game against Aston Villa trailing a
banner with the words "Wrong One - Moyes Out" - a reference to the
banner at Old Trafford that proclaimed Moyes to be the "Chosen One".
The Reds will miss out on Champions League football for the first time since
1995 and are in danger of missing out on European competition altogether for
the first time since 1990.
United did reach the last eight of the Champions League before being knocked out by Bayern Munich and Moyes argued that their best displays had been in the competition.
But the Scot has been dogged by claims he has fallen out with members of his squad.
When midfielder Anderson joined Fiorentina on loan in January, he was quoted as saying other United players "wanted out" although he later denied it.
Rio Ferdinand and Robin van Persie also made less than complimentary comments about his management style, while Javier Hernandez and Wilfried Zaha posted cryptic quotes on Twitter.
The BBC understands coaches Steve Round and Jimmy Lumsden have also left their posts, but goalkeeping coach Chris Woods and first team coach Phil Neville will remain with the club for the rest of the season.
United had refused to comment on national newspaper reports on Monday that Moyes - who left Everton to sign a six-year deal with the Premier League champions - would be dismissed before the end of the season.
But in a statement on Tuesday the club said it "would like to place on record its thanks for the hard work, honesty and integrity he brought to the role".
Netherlands coach Louis Van Gaal, Borussia Dortmund boss Jurgen Klopp, Atletico Madrid's manager Diego Simeone and Paris St-Germain's Laurent Blanc have already been tipped as possible successors to Moyes.
United, who lie seventh in the table with four games remaining, are guaranteed to record their lowest points tally in the Premier League having struggled at Old Trafford in particular this season.
Under Moyes, they have lost six league games at home, been beaten in the FA Cup by Swansea at Old Trafford and were unable to prevent Sunderland knocking them out of the Capital One Cup in the semi-finals.
United did reach the last eight of the Champions League before being knocked out by Bayern Munich and Moyes argued that their best displays had been in the competition.
But the Scot has been dogged by claims he has fallen out with members of his squad.
When midfielder Anderson joined Fiorentina on loan in January, he was quoted as saying other United players "wanted out" although he later denied it.
Rio Ferdinand and Robin van Persie also made less than complimentary comments about his management style, while Javier Hernandez and Wilfried Zaha posted cryptic quotes on Twitter.
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