The move was announced Thursday, the day before the first practice of training camp under new coach Dan Quinn.
A third-round draft choice in 2012, Holmes has played in 21 games with the Falcons, including 19 starts.
But foot problems have hampered his progress.
Holmes had surgery and played in only one game as a rookie, and he missed most of last season with a foot injury.
In June, Holmes broke his right foot. He reported for camp on crutches and wearing a heavy boot.