They have agreed to divorce and lawyers have been engaged to split her estimated $300 million fortune.
Ritchie is prepared to take a $50 million settlement with visitation rights to Madonna's three children – one of which, seven-year-old son Rocco, is his own – says the Daily Mirror newspaper in London.
Madonna, 49, has moved back to her New York apartment with Rocco, her daughter Lourdes, 11, and adopted African two-year-old, David.
Ritchie, 39, is living at a country estate in England. He was contemplating flying to New York this weekend in a last-ditch bid to save the marriage, said the Sun newspaper, but friends said it was too late.
Rumours that the seven-year marriage was on the rocks have swirled for several weeks, but appear to have been confirmed by comments by friends apparently deliberately leaked to the media yesterday.
"Madonna told Guy, 'I'm sorry, I want a divorce'. And he agreed. It was quite painless but very sad," one insider told the Mirror.
The singer and Ritchie have not been photographed together since June 2.