X Factor has signed $55 million sponsorship deal with Pepsi
The 51-year-old star and his fellow judges will be seen drinking the beverage during the show and backstage in behind-the-scenes footage, with the music mogul is said to be delighted to have landed such a huge promotional deal.
A source said: "The deal is ostensibly between broadcaster Fox and Freemantle who make the show, not between Simon and his company Syco.
"But it`s a massive coup for him - and shows how the big brands are all desperate to be associated with a man deemed to have the midas touch."
The sponsorshipdeal is a huge boost for the music mogul as he prepares to launch the Stateside show next year, with main rival, Simon`s former show `American Idol`, enjoying a similar yet smaller dealwith Coco-Cola worth $35 million.
The source added to the Daily Mirror newspaper: "The icing on the cake is that American Idol - which Simon used to be a judge on - is sponsored by Pepsi`s biggest rival. Simon is absolutely thrilled."
Details of the show are still being kept under wraps with Simon set to announce the panel of judges - rumoured to include Cheryl Cole, Nicole Scherzinger, Noel Gallagher and George Michael - early next year.