After playing just one season with the Jazz, Williams signed a two-year, $5.6 million free agent deal with the Portland Trailblazers, according to his agent.
Williams strongly considered Miami and Memphis, but neither team was offering as much as the Blazers.
This will be the fifth team for Williams, who averaged 12.9 points and 6.2 assists in 46 games with the Jazz. He missed 36 games because of injuries. His scoring average was his lowest since 2005-06, when he averaged 12.1 points for the Milwaukee Bucks.
The 30-year-old Williams joins a young Portland backcourt that includes former Weber State star Damian Lillard and rookie C.J. McCollum.