Albertville prosecutors announced on Monday that the probe into the December 29th accident, which has left Schumacher fighting for his life in hospital, was not caused by any breaches of the law.
The criminal investigation, launched just days after the former Formula 1 driver fell and hit his head on a rock, has been classed as "sans suite" meaning no further action will be taken and the probe has been closed.
“There were no infractions by any party. The accident occurred in an off piste area,” said prosecutor Patrick Quincy in a statement.
The prosecutor noted that “signalling and marking” of the off piste area where Schumacher fell and hit his head on a rock and “the information given on the limits of the piste" adhered to French legal standards.
There had also been speculation since the accident that it may have been caused by faulty skis, but this has already been ruled out by prosecutors.
In January Quincy also poured cold water on suggestions that Schumacher's speed was also to blame.
He said that the skier's speed was "not a particularly important factor to them".
Schumacher was going at an appropriate speed for a skier of his level, Quincy said.
The camera attached to Schumacher's helmet revealed that he was descending at the rate of "a very good skier on fairly hard terrain" although the fomer Formula 1 driver "did not look to reduce his speed when he went off-piste".
Schumacher was only around 8 metres off-piste between a red and blue run when he hit a rock beneath the snow causing him to fall and smash his head against another rock.
The former F1 driver has been in a coma in a hospital in Grenoble since the crash.
Last week his family released a statement saying he was "still in a waking up process" which could take a long time.
That statement came a day after Germany's biggest-selling newspaper, Bild, reported that Schumacher had contracted a lung infection, and days after rumours that he had died swept social media.
The statement said: "Michael's family would like to again express their sincere thanks for the continuous sympathy coming from all over the world. The good wishes they receive the family and, we are convinced they also help Michael, who still is in a waking up process.