The news was first reported by Yahoo! Sports' Pat Forde on Tuesday afternoon.
The move comes as a shocker, as it seemed Bielema was a fixture in Madison, having been hand-picked by Barry Alvarez to be his sucessor in 2006.
Last Saturday, Bielema led the Badgers to their third consecutive Big 10 conference title and berth in the Rose Bowl on January 1st.
Local 5 will have more on this story as it develops.