The Hammers enjoyed a brilliant season under Moyes and they finished the last campaign sixth in the Premier League and with a record points total.
Moyes had duly been linked with a return to his old club Everton, who are on the hunt for a new manager after Carlo Ancelotti returned to Real Madrid.
But Moyes has pledged his loyalty to West Ham and penned a new three-year deal with the club as he looks to build on the work he has done there.
“I am delighted to have committed my future to West Ham United,” said Moyes.
“This is where I want to be and I’m happy. I’m excited to be given this opportunity to build on what we all have already achieved here. The owners and I are fully aligned with how we want to keep developing and improving the football club.
“The board and everyone at the club have been fantastic to work with, giving me great support and I feel that we are all united in what we want to achieve in the coming years and how we might be able to achieve those things.
“We have made tremendous progress in the past 15 months and that has been a collective effort from everyone at the club.
“The players really have been superb but the challenge is for our standards to continue developing. We must keep pushing boundaries for consistent improvement as we all aim to continue the growing of the club.
“I have said it many times before – West Ham United is a huge club, with a wonderful fanbase and Stadium, and an enormous opportunity for further growth and success.
“I am really excited by the ambition that we have at the club and we are going to work as hard as we possibly can to keep moving forward and hopefully give our supporters many a great memory.”
Joint-Chairmen David Sullivan and David Gold said: “This is fantastic news and we are delighted that David has committed his long-term future to the club, ensuring great stability going forward. “His strong work ethic and determination to build success in the right way have proved a perfect fit for West Ham United, and we are all aligned with what needs to be done to keep progressing and improving.
“The experience of the past 12 months has created a fantastic unity throughout the club and we are very excited about what the future holds for our supporters.”
Moyes’ backroom staff - Paul Nevin, Stuart Pearce, Xavi Valero, and Kevin Nolan - are staying on with him. Alan Irvine, Moyes’ close friend and valued assistant, will remain with the club in a technical advisory role.