Panucci was reflecting on Conte's post-match media conference after Napoli's Coppa Italia quarterfinal defeat to Como last night.
Conte snapped at reporters and defended his team after their elimination.
Asked about Conte's reaction, Panucci said: "Tomorrow he'll go to the pitch and ask himself: 'How do I motivate myself? How do I motivate the players?' He's lost his spirit, he's lost everything, and he's right."
Napoli lost on penalties after the score had finished 1-1 after extra-time.
Panucci also said on Mediaset: "Conte's team played much better, Fabregas's team controlled the situation, but never threatened, especially in the first half.
"It was a performance a little below what we're used to, but they continue to improve."
