The head of the Egyptian Army General Abdel Fattah al-Sisi  on Wednesday announced that the constitution is to be temporarily suspended, whilst the head of the constitutional court, Adly Mansour, will take control of the country until early elections are held.
The announcement, made on Egyptian state television, was greeted with wild elation from the tens of thousands of anti-Morsi demonstrators gathered in Cairo's Tahrir Square, who also let off fireworks.
Sisi called for presidential and parliamentary elections, a panel to review the constitution and a national reconciliation committee that would include youth movements.
"Since November 2012, we have called for a national dialogue, which was accepted by all parties except the presidency," he said.
Morsi reacted to the statement by urging his supporters to resist the 'full military coup' peacefully and without bloodshed, in a post on the Presidency's Facebook page. 
"Dr Morsi in his capacity as the President and Commander of the armed forces, calls on all Egyptians to abide by the constitution and ignore the full coup," the statement said.
Immediate reaction was understandably subdued at pro-Morsi rallies held in the Egyptian capital. Although there are reports of the armed forces being deployed close to rallys for Morsi supporters, there have been no reports of violence as of yet.
Shortly after the army announcement, a number of Islamist television channels were taken off the air across Egypt, as the army began a media crackdown.
Egyptian news site Ahram Online reported that a number of Islamist channels located in Egypt's 6 October city were raided by the police, taken off the air and a number of staff were arrested.