The world number three had not dropped a set in the opening two rounds of the tournament, but had no answer to the speed and power of Coric, who won 6-1, 6-3.
"He didn't make many errors," said Murray. "He played very solid and he moved well.
"I made way too many mistakes from the beginning of the match right through to the end, early in rallies, rushing points," Murray told reporters.
Coric labelled the victory as one of his best, alongside his victory over Rafael Nadal at the 2014 Swiss Open.
"[It's] one of the biggest wins, for sure," he said. "I was just trying to maintain my level, stay in the rallies as long as I can, which I was doing really well. I was also running very well.
"I'm still a little bit struggling with the best players when they are playing really good obviously. I always need to be on 100 per cent, and when I'm on 100 per cent, mentally [and] also tennis wise, then I think I can play with them," he added.
Coric will face Roger Federer in the semi-finals