Ali, one of the world's most celebrated athletes, was hospitalised in Phoenix hospital this week for a respiratory ailment.
His condition was reported to have worsened soon after.
Muhammad Ali's condition is understood to be extremely grave.
Ali's death was confirmed in a statement issued by family spokesman Bob Gunnell late Friday evening, a day after he was admitted to a Phoenix-area hospital with a respiratory ailment.
The cause of death or the name of the hospital where he died were not immediately disclosed.
Ali had long suffered from Parkinson's syndrome, which impaired his speech and made the once-graceful athlete almost a prisoner in his own body.
Even so, Ali's youthful proclamation of himself as "the greatest" rang true until the end for the millions of people worldwide who admired him for his courage both inside and outside the ring.
"A part of me slipped away, the greatest piece," George Foreman, a former heavyweight boxer and one of Ali's most formidable opponents in the ring, said on Twitter after the news of Ali's death.
New Zealand boxer Joseph Parker tweeted that Ali would be "forever missed".
Rest in peace to the greatest. @MuhammadAli you changed the game and you'll be forever missed #GOAT
With his dancing feet and quick fists, he could - as he put it - float like a butterfly and sting like a bee.
He was the first person to win the heavyweight championship three times.
But Ali became much more than a colourful and interesting athlete. He spoke boldly against racism in the '60s, as well as the Vietnam War.
During and after his championship reign, Ali met scores of world leaders and for a time he was considered the most recognizable person on earth, known even in remote villages far from the United States.
Ali's diagnosis of Parkinson's came about three years after he retired from boxing in 1981.
Several of Ali's daughters reportedly flew to Phoenix to be with their father before he died.
The former heavyweight champion's 38-year-old daughter Laila Ali expressed appreciation for the support shown by friends and well-wishers.
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A champion herself, Laila Ali said in a statement that she "appreciates the outpouring of love" for her father.
"Laila's number one priority is her father's well-being. She truly appreciates the outpouring of love for her family, as she spends quality time with her dad."
Laila Ali also posted her gratitude on Facebook, including a photo of her daughter with "the Greatest" as a baby.
Prayers & blessings to my idol, my friend, & without question, the Greatest of All Time @MuhammadAli ! #GOAT
Prayers & blessings to my idol, my friend, & without question, the Greatest of All Time@MuhammadAli! #GOAT
Ali has suffered from Parkinson's disease for more than three decades and has kept a low profile in recent years.
GETTY IMAGES
Muhammad Ali pictured at an event in 2008.
At the height of his career, Ali was known for his dancing feet and quick fists and his ability, as he put it, to float like a butterfly and sting like a bee.
He held the heavyweight title a record three times, and Sports Illustrated named him the top sportsman of the 20th century.
Nicknamed "The Greatest," Ali retired from boxing in 1981 with a record of 56 wins, 37 by knockout, and five losses. Ali's diagnosis of Parkinson's came about three years after he left the ring.
That time Muhammad Ali surprised Sylvester Stallone during a speech. #RIP bit.ly/28ambqj
Ali, born in Louisville, Kentucky, as Cassius Marcellus Clay Jr, changed his name in 1964 after his conversion to Islam.
Ali had a show-time personality that he melded with dazzling footwork and great hand speed.
Muhammad Ali fan/YouTube
Muhammad Ali visited New Zealand in 1979.
His bouts with such fighters as Sonny Liston, Joe Frazier and George Foreman made him an international celebrity like boxing had never seen.
He became a symbol for black liberation during the 1960s as he stood up to the U.S. government by refusing to go into the Army for religious reasons.
Ali made a surprise appearance at the Atlanta Olympic Games in 1996, stilling the Parkinson's tremors in his hands enough to light the Olympic flame.
He also took part in the opening ceremony of the London Olympics in 2012, looking frail in a wheelchair.
He has been married four times and has nine children.
GETTY IMAGES
Muhammad Ali fights Joe Frazier at Madison Square Garden in 1974. Ali won on points and went on to meet George Foreman for the world heavyweight title.
- Agencies











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