Head coach Fred Hoiberg said Monday that Gibson intends to transfer to another school following the end of the spring semester.
Gibson, a 6-foot-9 native of Detroit, played in just 14 games for Iowa State last season despite the team's occasional struggles inside.
The Cyclones also gave post player Daniel Edozie playing time over Gibson after forward Georges Niang broke his foot in the opening round of the NCAA tournament.
Iowa State will add promising junior-college transfer Jameel McKay next season, a move that likely would have further cut into Gibson's playing time.
Gibson's departure will free up an extra scholarship for the Cyclones to use next season.