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With Hardy still feuding with Johnny Nitro and the other members of MNM into 2007, he was challenged once again by Nitro at New Year's Revolution in a steel cage match for the Intercontinental Championship.
Hardy was later released from his TNA contract in June 2006.
Finally, the Hardy Boyz split apart, as Hardy continued to pursue his singles ambitions on Raw and his brother, Matt left Raw for his own singles pursuits signing with Stephanie Mc Mahon's Smack Down! On Raw, Hardy would compete in WWE's Hardcore division until the title's unification with the Intercontinental Championship.
In late 2002, Hardy had been teaming with Rob Van Dam and Bubba Ray Dudley.
With the addition of Lita, the team became known as Team Xtreme and continued to rise in popularity.
Alongside Matt, Hardy won eleven world tag team championships between WWE, TNA and ROH.