The GOP contender shared her decision in a morning news conference after finishing in sixth-place in the Iowa caucuses, with only five-percent of the vote.
Experts say there's a strong chance Bachmann will be reelected to her House seat in November.
Texas Governor Rick Perry's campaign is also in doubt.
Perry finished fifth in Iowa with more than ten percent of the vote.
He said last night that he's returning to Texas to reassess his bid for the presidency.