Hope, whose contract was good through the 2016 season, will receive a $600,000 buyout. He made $950,000 this season.
“There is no question that our football program has seen considerable growth under Danny's leadership, particularly in the areas of academics, player development and recruiting,” Burke said in a university release. “I applaud him for his passion about Purdue University and the young men he coaches. He and his staff have devoted their lives to improving the program, but as I told him earlier this afternoon, those efforts did not equate to the consistent on-field success that both of us expected.
"I want to personally thank Danny and his wife, Sally, for their contributions not only to Purdue but to the Greater Lafayette community.”
Purdue will conduct a national search for the new coach. Receivers coach Patrick Higgins will serve as interim head coach for the upcoming bowl game.
Potential replacements include Ball State's Pete Lembo, Cincinnati's Butch Jones, Louisiana Tech's Sonny Dykes, Northern Illinois' Dave Doeren, Kent State's Darrell Hazell and Illinois State's Brock Spack.
Spack was the former Boilers' defensive coordinator who was passed over for Hope when Joe Tiller retired. Illinois State is 8-2 and ranked No. 15 in FCS.