Mourinho, who was sacked by Manchester United towards the end of last year, had been in talks with Madrid president Florentino Perez regarding a return to the Santiago Bernabeu.
However, key figures in Real Madrid's hierarchy as well as the team were against Mourinho being given a second stint at the legendary Spanish club, with Sergio Ramos being one of the key figures who raised an issue.
This led to Perez re-appointing Zidane, who stepped down as Real Madrid manager towards the end of last season.
Mourinho has now spoken up on Madrid's decision regarding Zidane in an interview with El Chiringuito. He said, "Zidane is perfect for Madrid and this is perfect for himself for another great opportunity to show how good he is with a new project after the fantastic things he has achieved in recent years. I think it is perfect and fantastic."
On being asked if he is disappointed at not getting the Real Madrid job, Mourinho said, "I I never said I wanted it or not. I just told you Zidane to Madrid is perfect."
The Portuguese coach was then asked if he was given any explanation by Real Madrid for not hiring him instead of Zidane. Mourinho replied, "Why would they need to give me an explanation?"