Smith has agreed to a new contract to stay with the 49ers, according to ESPN's John Clayton. The deal will pay the quarterback an average of roughly $8 million annually, according to ESPN's Chris Mortensen.
Smith, who was a free agent, had reportedly been weighing a three-year offer from the Niners. The re-signing, however, comes on the heels of the 49ers jumping into the Peyton Manning sweepstakes before the former Indianapolis signal caller decided to take his talents to Denver.
Smith reportedly visited with the Dolphins over the weekend, while San Francisco met with Manning. Manning ultimately signed a five-year, $96 million contract with the Broncos, though, putting the 49ers back to square one when it came to their QB situation.
A former first overall pick in 2005, Smith threw for 3,144 yards and 17 touchdowns last season while helping to lead the Niners to the NFC Championship Game.