An official announcement is expected to come on Friday.
"He's in the office this morning and we're moving ahead," a source confirmed to TDD. "He's staying."
Duke fans had been living on pins and needles over the last few days beginning with Lane Kiffin's sudden departure from Knoxville. Shortly after Kiffin was on a plane to Southern California, the Volunteer administration began looking for coaching candidates.
That search centered in on Cutcliffe, who has long ties to UT and the SEC. He is a former offensive coordinator at Tennessee and head coach at Mississippi.
On Thursday word began to leak out that the two sides had actually entered into the negotiation process and, barring any last minute changes a deal was expected to happen. However, as the day wore on the two parties were apparently unable to find common ground and the deal that was so close, ended up collapsing.
It's the kind of news the long suffering Duke football fan base wanted to hear. After enduring double-digit losses for the better half of the last decade, Cutcliffe has put together back to back seasons that have exceeded expectations including 2009's 5-7 mark.
With the future of the program now assured, the Blue Devils will return focus to the business of recruiting which begins tomorrow with the arrival of four official visitors.