"After agreeing to contract terms to become the Indianapolis Colts' new head coach, New England Patriots assistant coach Josh McDaniels this evening informed us that he would not be joining our team," the Colts said in a statement. "Although we are surprised and disappointed, we will resume our head-coaching search immediately and find the right fit to lead our team and organization on and off the field."
The news came as a surprise to many, as it was widely reported that the Colts and McDaniels had been in talks throughout the postseason. Most assumed that McDaniels would have already committed if the Patriots didn't happen to be in the middle of a Super Bowl run.
Sources tell ESPN that over the last two days, Patriots owner Robert Kraft started talking with McDaniels and improved his previous contract conditions. McDaniels had yet to sign an official contract with the Colts, so he was legally free to change his mind.
So, where do the Colts go from here? Some reports indicate that the team had an inkling something like this would happen, and already started lining up candidates to replace Chuck Pagano (who they fired on New Year's Eve).
Twitter, of course, had a field day with this one. See some responses below.