"My first reaction was 'What?' I don't think anybody expected this," Schieffer told "Early Show" co-anchor Maggie Rodriguez Friday.
The Norwegian Nobel Committee cited Mr. Obama's "extraordinary efforts to strengthen international diplomacy and cooperation between peoples" as the basis for the award, but Schieffer thinks it might have a lot to do with Mr. Obama's predecessor.
"President Bush was very unpopular in Europe and it is almost as if this is more of a comment on the previous administration than it is on the new one."
Schieffer said the prize may also hurt the president domestically. In the first nine months of Mr. Obama's term, his political foes have criticized the president's conciliatory tone in international forums.
"You have to wonder, is this going to widen the partisan divide rather than bring people together."
More CBSNews.com Coverage on Obama Winning the Nobel Peace Prize:
Obama: Nobel Prize a "Call To Action"
Analysis: Nobel Peace Prize Doesn't Help Obama
Obama's Nobel Win: A "Mission Accomplished" Moment?
The Audacity of the Nobel Committee
Nobel Peace Prize an Unprecedented Honor for Obama
Obama's Next "Most Important Speech"
Placing a Wager on Peace
Nobel Peace Prize Shocks Bloggers: "This is Insane"