Esteban Ocon will partner Sergio Perez as Nico Hulkenberg's replacement at Force India for the 2017 season.
The young Frenchman currently drives for backmarkers Manor but will move up the grid to replace the Renault-bound Hulkenberg next year.
"I feel ready for this new opportunity," said Ocon. "I know the team quite well already because I was a test driver last year."
Force India have described Ocon's deal as a 'multi-year contract' and his partnership with Perez as 'one of the most exciting line-ups on the grid with a blend of youth and experience'.
Profiling Formula 1's next generation
The team are engine customers of Mercedes who have a long association with the 20-year-old Frenchman. Highly regarded in the paddock, Ocon has seen off competition from Pascal Wehrlein, his fellow Mercedes 'graduate' on loan at Manor this year, and appears to be in pole position to replace either Lewis Hamilton or Nico Rosberg when their deals expire at the end of 2018.
Perhaps tellingly, the press release announcing Ocon's appointment included the observations of Toto Wolff as the Mercedes boss celebrated "a positive development for Formula 1 that talent wins over money" and hailed Ocon as being amongst "the most impressive youngsters fighting to make it to the top in Formula 1 over the coming years".
Haas, Sauber and Manor remain the only teams yet to confirm the identity of either of their drivers for 2017, although Romain Grosjean is under contract for next season with the American-based outfit.
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