The decision comes after a 17-month investigation by the International Olympic Committee into what was deemed to be state-supported doping.
Individuals who can prove they are clean will be invited to participate under a neutral flag and referred to as "Olympic athletes from Russia".
"An Olympic boycott has never achieved anything", IOC President Thomas Bach said at a news conference.
ARD airs a second documentary with new accusations aimed at Russian and Kenyan athletes based on a leaked IAAF database with details of 12,000 blood tests from 5,000 competitors which revealed "extraordinary" levels of doping. Mutko is at present the head of the organising committee for the 2018 World Cup and on Friday rejected suggestions that there had been systematic doping.
Those probes have concluded that more than 1,000 Russian athletes across at least 30 sports, including both summer and winter events, had been involved in doping that dated from at least 2011. Russian President Vladimir Putin has called the doping charges against Russia "a risky return to this policy of letting politics interfere with sport".
The answer, in simple terms, is that it's a strident punishment in response to investigations into the Russian Olympic program's use of performance-enhancing drugs over the past several years.
Nations have in the past been barred from taking part in the Olympics - notably South Africa during the apartheid years - but none has ever been handed a blanket suspension over doping. "This completely contradicts the basic Olympic principles", he told the International Olympic Committee in Lausanne before the decision to ban Russian Federation from the 2018 Olympic Games was announced. Some Russian MPs immediately raised the possibility that Russia may boycott the Winter Olympics, with the first deputy speaker of Russia's parliament, Ivan Melnikov, saying it would be "incorrect" for Russia's team to travel to Pyeongchang under a neutral flag.
The Russian doping scandal began in Sochi. We salute whistleblower Dr. Grigory Rodchenkov, who risked so much to tell this story, and support all those who are willing to speak truth to power.
Russian Sports Ministry officials have apologized for widespread doping among their athletes, but forcefully have denied allegations of government involvement and painted Rodchenkov as a rogue actor.
That commission, chaired by International Olympic Committee member Denis Oswald, was tasked with handling individual cases. They've taken away 11 of Russia's 33 medals.
Russian officials have said the country would boycott if the International Olympic Committee adopted such a decision, one that was supported by more than three dozen national anti-doping organizations.