In May, it was reported that the adaptation was in doubt, with Universal expressing concerns over the ambitious project's budget.
Universal has now revealed that it will pass on the adaptation after filmmakers would not accept the studio's commitment to only a single movie, Deadline reports.
The studio had previously planned to release a trilogy of films, in addition to two television miniseries, so as to properly adapt King's seven-novel series.
Javier Bardem was said to be attached to the project, playing the series's protagonist Roland Deschain, though as of late May the actor remained unconfirmed in the role.
Filmmakers are currently searching for a new studio to finance the project.
Bardem was recently confirmed to play a villain in the as-yet-untitled Bond 23.