Xabi Alonso has left Real Madrid with immediate effect, less than 24 hours after losing to Barcelona in the Spanish Super Cup.
The Spanish legend departs by mutual agreement just eight months after being appointed as manager.
Xabi Alonso on the touchline at the Bernabeu
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Alonso has left Real Madrid after losing to Barcelona in the Super Cup on SundayCredit: Getty
In a shock statement released on Monday evening, Real announced: "Real Madrid C. F. communicates that, by mutual agreement between the club and Xabi Alonso, it has been decided to end his time as coach of the first team.
"Xabi Alonso will always have the affection and admiration of all Real Madrid because he is a legend of Real Madrid and has always represented the values of our club.
"Real Madrid will always be his home.
"Our club thanks Xabi Alonso and all his technical team for their work and dedication throughout this time, and wishes them good luck in this new stage of their lives."
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Alonso took charge of 34 games as Real Madrid manager following his move from Bayer Leverkusen to replace Carlo Ancelotti.
But despite winning 24 of those games and only losing six times, he has found himself under a lot of pressure in the dugout.
Real are sitting four points behind bitter rivals Barcelona in La Liga and lost 3-2 to them in the Spanish Super Cup on Sunday evening.
talkSPORT’s Ben Jacobs said on the news: “All parties feel it’s just not working. There’s been friction in particular with Alonso and Vinicius Junior, who is yet to sign a new deal.
“And a lot of players have been uncomfortable in what was a familiar formation - 4-4-2.
"Jude Bellingham sometimes played up alongside Kylian Mbappe, Rodrygo got limited opportunities, so a few things have led to this decision.”
Xabi Alonso looks on at the Bernebeu
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Alonso only lost six games in charge of Real but has been let goCredit: Getty
Instant replacement
Real Madrid have also confirmed that former defender Alvaro Arbeloa, who, like Alonso, also played for Liverpool, has taken over.
He has instantly been named as the new first-team coach.
They wrote in a statement: "Álvaro Arbeloa has been the manager of Castilla since June 2025, and has spent his entire coaching career in Real Madrid's youth academy since 2020.
"He managed the Infantil A team in the 2020-2021 season, winning the league title, the Cadete A team in 2021-2022, and the Juvenil A team from 2022 to 2025. As Juvenil A manager, he achieved the treble in 2022-2023 (League, Copa del Rey, and Champions Cup) and the League title in the 2024-2025 season.
"As a player, Álvaro Arbeloa was part of Real Madrid during one of the most successful periods in its history. He wore our shirt between 2009 and 2016, making 238 official appearances.
"During that time, he won eight titles: two Champions Leagues, one Club World Cup, one UEFA Super Cup, one La Liga title, two Copa del Rey trophies, and one Spanish Super Cup.
Castilla manager Alvaro Arbeloa
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Arbeloa has instantly replaced Alonso as managerCredit: Getty
"With the Spanish national team, Álvaro Arbeloa was also part of a historic era, winning the 2010 World Cup in South Africa and two European Championships (2008 and 2012). He earned 56 caps for Spain."
Arbeloa, who has only ever coached Real Madrid Castilla and has never had a senior managerial role, replaces his ex-teammate.
He played alongside Alonso at Liverpool, Real Madrid and with the Spanish national team.
The pair played a total of 262 games together across their careers with three different teams.
What could be next for Alonso?
Jacobs explained on talkSPORT where Alonso could find himself next after leaving Real Madrid following his short spell.
He said: "I think in short, if Liverpool have a vacancy, Xabi Alonso is going to be on of the names they consider.
"But they don't have a vacancy and right now, Liverpool are intent with sticking with Arne Slot.
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"And I'm told by sources close to Alonso that he doesn't want to dive into another role mid-season."
He added: "So, it's very likely we have a limbo period, Slot gets a chance to turn things around and then in the summer, if there were to be a Liverpool vacancy, maybe Alonso is reconsidered."