The move gives the Broncos the right to match any offer the backup cornerback receives in free agency.
Carter has three career interceptions, 22 pass breakups and three fumble recoveries in his seven-year NFL career. He has appeared in 42 regular season games and five playoff games with Denver (2009-, '11-14) and New England (2010), collecting 48 total tackles, three interceptions, three fumble recoveries and two dozen pass breakups.
The Broncos also announced the hiring of Ray Jackson as director of player development. He spent the last decade in a similar role with the Steelers and replaces Jerry Butler, who followed John Fox to Chicago.
Jackson played six seasons in the NFL with the Bills and Browns after a standout career at Colorado State, where he graduated as the program's all-time leader in career interceptions (20).