The 35-year-old defender, who plays in London for Chelsea, told TF1: "The time has come when I must stop."
"I'm not playing as well as I did because I can't run up and down the pitch as much as I used to," Desailly was quoted as saying on the TF1 website.
Desailly, who won the World Cup in 1998 and Euro 2000 with France, made a record 116 appearances for the national side over 11 years.
He played his last game for France at Euro 2004 in a 2-2 draw with Croatia, his only appearance at the tournament. France were knocked out by Greece in the quarter-finals.
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