Cricket Australia have confirmed that Steve Smith will replace Michael Clarke as the captain of the Baggy Greens until the 33-year-old is fit to return to the team.

Clarke conceded that he may never play cricket again after sustaining a hamstring injury in the first Test against India at Adelaide, which has all but ruled him out of the rest of the series.

Australia have taken the move to replace the 33-year-old temporarily with Smith, but chairman of national selection panel Rod Marsh has admitted the decision was made with a view to the long-term future of the team.

"These are difficult circumstances given Michael's injury and the fact that we don't know how long he will be out of the game," Marsh said in a statement.

"What we do know is that it won't be an overnight fix so after a lot of thought we have taken the opportunity to appoint an emerging young leader as captain until such time as Michael regains fitness and returns to the side."

Australia hold a 1-0 lead in their series against India following their 48-run victory at Adelaide.