His employees at his Chicago-based studio, Electronic Audio, confirmed the sad news Wednesday ... sharing that the musician's cause of death was a heart attack.

Albini rose to fame in the '80s with his punk rock band, Big Black, which he started alongside guitarist Santiago Durango and bassist Jeff Pezzati. The group was known for controversial lyrics ... and for choosing to use a drum machine over a drum kit. They released 2 studio albums before disbanding in 1987.

Despite his disdain for the term producer, Albini went on to work on several high-profile albums, including the Pixies’ 1988 album “Surfer Rosa” and Nirvana's 1993 “In Utero" album. He also recorded PJ Harvey’s second studio album, “Rid of Me,” which also came out in 1993.

He famously rejected royalty payments ... asking for a flat fee in most cases -- often criticizing musicians for being in it for the money.

Albini went on to front another rock band, called Shellac ... releasing 5 albums over their tenure together. Shellac was set to release their 6th album next week ... it was their first album in a decade. They were also reportedly planning to tour the album later this year.

Elijah Wood paid tribute to the late music legend on X ... writing ... "Ugh man, a heartbreaking loss of a legend. Love to his family and innumerable colleagues."

Marc Maron expressed a similar sentiment, noting ... "The great Steve Albini has died. He engineered some of the greatest albums of all time. Here’s our 2015 talk in remembrance. Rest in heavy peace, Steve."

He was 61 years old.