The Tigers are due to play Luton Town in the resumption of the Championship, but will now enter the game managerless after sacking their coach.
Meetings had been had with the Georgian-boss over the international period, but the owner claims ‘views weren’t aligned’ and as such, they have taken the decision to find a new manager to lead them.
At the time of his sacking, Hull find themselves 20th in the league standings after a summer of upheaval with 15 new additions, including former Fulham midfielder Jean Michael Seri.
Acun Ilıcalı, Hull City chairman, said to the official club website: “During the international break, we had a number of meetings with Shota to discuss the direction of the team and the future of the club. As these meetings went on, it became clear our views weren’t aligned so we have made the decision to part ways.
"Shota and Peter leave with our thanks, greatest respect and fond wishes for the future. "Our focus is now supporting Andy and the squad and finding the best possible candidate to drive this club forward."
Arveladze oversaw a 2-1 opening day win over the Robins which came in controversial circumstances after a debatable penalty decision, winning late on in the match.
Last season, the former Rangers stiker had suffered a heavy defeat at Ashton Gate, losing 5-0 as Andi Weimann and Chris Martin scored braces in between a goal from Antoine Semenyo.
For the time being, Tigers legend Andy Dawson will oversee first-team affairs, beginning with tonight’s match against Luton Town, which will be broadcast live on Sky Sports.
Without a quarter of the season played, he becomes the fourth manager to be sacked from his job. Michael O'Neill, Danny Schofield, Steve Morison and Rob Edwards have all been sacked in the last month.
Hull meanwhile join Cardiff and Rotherham United for a new manager, with Dean Holden one of the favourites for the job at the New York Stadium.