The 42-year-old, who was appointed to the role in 2012, announced his decision after the Elephants' 2-1 defeat against Greece which signalled the end of his side's tournament.
Lamouchi led Ivory Coast to the quarter-final of the Africa Cup of Nations last year, while his current deal in charge of the African nation has now expired.
"My contract comes to an end at this World Cup and there will be no epilogue," he's quoted as saying by BBC Sport. "It is logical as we did not do well at last year's Africa Cup of Nations or at the World Cup finals.
"The Ivory Coast is a great football nation. And this was a cruel game. After so much hard work and so much sacrifice, all of us and everyone in the Ivory Coast is very sad."
The Frenchman had spells at Monaco, Parma and Inter Milan among others during his player career, but he had no previous managerial experience before taking up his position with the Ivory Coast.