Allegheny County Assistant District Attorney Rachel Newman announced the decision at a court hearing Wednesday.
Pittsburgh police say they found three marijuana-filled cigars -- or blunts -- in Holmes' car when he was pulled over on Oct. 23. They pulled Holmes over because they were looking for a car similar to the one he was driving. Holmes alerted police to the drugs.
Holmes' attorney argued the traffic stop violated the football star's rights because the search warrant wasn't specific enough. Prosecutors agreed.
Asked if he was happy with the outcome, Holmes said: "I'm all right."