The Texans opted to waive James on Monday, John McClain of the Houston Chronicle reports.
James gave up a long touchdown pass to Packers' wide receiver Jordy Nelson in Sunday's loss to the Packers, which may have played a factor in the decision to release him. He was subsequently replaced by cornerback Al-Hajj Shabazz on the team's roster. The 26-year-old had played in ever game this season, recording 18 tackles and one pass defended.