The German Football Association, the DFB, moved quickly in search of a successor and turned to Jurgen Klopp, currently contracted to Red Bull until 2029 as the group's global head of football.
The former Liverpool manager has made clear he is drawn to the project, and the DFB confirmed discussions with Klopp at the same moment it announced Nagelsmann's departure.
Sky Germany has since gone further, reporting that an agreement in principle has already been reached between Klopp and the federation.
Klopp himself confirmed the talks publicly while working as a pundit for Magenta TV during the tournament.
"Yes, I can confirm the talks," Klopp said, before stressing that discussions with his current employer would also need to take place.
Although the appointment appears to be heading in one direction, it is far from unanimously welcomed inside Red Bull.
According to Sky Sports, the Austrian group is particularly frustrated by the DFB's public confirmation of talks before any agreement had been reached with Klopp's employer, a move that has irritated executives who saw the German as the central figure in their long-term football project.
Sky Sports also reports that Red Bull's shareholders are now demanding financial compensation before agreeing to release Klopp from his contract.
That request is far from trivial, since the DFB has never previously paid any compensation to recruit a national team coach.
DFB president Bernd Neuendorf is leading negotiations with the Austrian group in an attempt to find common ground and prevent the situation from dragging on.
A first meeting is scheduled for next week in New York, involving a DFB delegation, Klopp and his agent Marc Kosicke, with Red Bull representatives potentially also taking part to help resolve the matter.
One thing already appears settled: Klopp has confirmed his desire to become Germany's next head coach and says he is ready to return to the touchline, two years after leaving Liverpool.
Whether the DFB can persuade Red Bull to release him, and whether it will agree to pay the compensation being demanded, remains to be seen.