Williams was set to play her 22nd Australian Open after being awarded a wildcard to the January 16-29 tournament.
The 42-year-old American, twice a finalist at Melbourne Park who is now ranked outside the top 1 000, was preparing for the tournament at the Auckland Classic where she got injured.
“Venus Williams has withdrawn from the Australian Open due to an injury sustained at the ASB Classic in New Zealand,” the Australian Open said in a tweet.