The midfielder was a vital part of the teams which won the 1998 World Cup and the European Championships in 2000.
Zidane, who made his debut for the team in 1994, has been considering his future since France went out of Euro 2004 in the quarter-finals.
"I have thought long and hard about this decision," the 32-year-old said in a statement on his website.
"I think that at a given moment you must say 'stop'. It's the end of my international career with the French team. It's the time, it's my time."
France's coach had hoped to persuade Zidane to play in the 2006 World Cup in Germany.
Sorry
"I am sorry about it as I would have liked him to carry on," he said.
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