A source close to the couple tells the Associated Press they had differing lifestyles, but that Parker, 43, holds Morgan, 41, "in the highest regard and hopes they remain friends."
The two got engaged in February, though reps for both had no comment when contacted by Usmagazine.com.
They began dating in 2006 after meeting on the set of her Showtime dramedy Weeds (he played her dead husband).
They briefly split in June 2007. They were back on last December when Parker accompanied Morgan to the premiere of his movie P.S. I Love You.
Parker has a son, William, with actor Billy Crudup. She also recently adopted a baby girl from Africa.
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