Tournament host Woods was not listed on the initial player field last month but had been widely expected to take one of three exemption spots for the competition, an unofficial event that features 20 of the world's top players.
The American has not competed since he missed the British Open cut in July and subsequently underwent microdecompression surgery for nerve impingement on his lower back in September.
"I am disappointed that I will not be able to compete this year at the Hero World Challenge, but always look forward to being tournament host," Woods wrote on X.
Woods did not cite a reason for his absence but has kept a limited competitive schedule for years due to several injuries.
The tournament's three exemption spots went to two-time major winner Justin Thomas, 2015 PGA Championship winner Jason Day and 20-year-old Nick Dunlap, who picked up a pair of wins on the tour this year.
