Di Canio joined the Black Cats in March. The Italian has been dismissed after a desperately poor start to the Premier League season.
The Black Cats have announced that Kevin Ball will take charge of the Sunderland squad for the Capital One Cup clash with Peterborough United on Tuesday.
A club statement read: “Sunderland AFC confirms that it has parted company with head coach Paolo Di Canio this evening.
“Kevin Ball will take charge of the squad ahead of Tuesday night’s Capital One Cup game against Peterborough United and an announcement will be made in due course regarding a permanent successor.
“The club would like to place on record its thanks to Paolo and his staff and wishes them well for the future.”
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