TV3 said this afternoon The DunphyShow is to be discontinued and that next Friday's programme is to be the last.
The station said it was "impossible" to continue broadcasting the show, from Dublin City University's Helix theatre, because of current marketplace conditions.
"The enormous licence fee increases in the last two years have had a massive negative impact on the opportunity to invest in Irish programming by independent broadcasters like TV3," the statement said.
"TV3 has long sought a fair, competitive and regulated environment that will be attractive to private investment in indigenous programming. That has not occurred."
But reacting to the announcement, RTÉ said TV3's assertions were "factually inaccurate".
"Yet again, TV3 endeavours to blame RTÉ's excellent programming skills for the company's failure to deliver indigenous programmes to the Irish people," a statement from the State broadcaster said.
"It is nonsense to suggest that the licence fee increase was used to target any possible success of The Dunphy Show. The Late Late Showcontinues to be a milestone programme and the longest-running chat show on any television station in any part of the world.
"RTÉ has always welcomed competition and continues to do so. We wish Eamon Dunphy every success in his continuing career."
TV3 praised the staff of The Dunphy Showfor "commitment, dedication, and effort".
"It is sad that ambitious productions like The Dunphy Showand the talented people involved can be affected by the manner in which broadcast competition is regulated in Ireland," its statement added.
Mr Dunphy said he was "privileged to work with a brilliant team all of whom I'm certain will go on to enjoy successful careers in the business. Like me, they have learned much from the experience working on the show".
It emerged last month the show was to be taken off the air for six weeks over Christmas for commercial reasons.
TV3's director of programming, Mr Mathew Salway, said at the time that suggestions that the show was in difficulty were untrue.
"As a commercial TV station, everything we do is designed to make money. There is very little advertising in the period after Christmas, so there's no point mounting a show in the first three weeks in January," Mr Salway said in November.
The Dunphy Showbegan its first run at the start of September. The series was due to take a break on December 12th and resume at the end of January.
Mr Salway also denied suggestions sponsors were concerned about Mr Dunphy admitting he used recreational drugs.
The show to be broadcast tonight was reportedly pre-recorded last weekend.
