Gattuso named new Italy coach after Spalletti sacking
The 47-year-old was part of the 2006 World Cup-winning side and won 73 caps for the national team as a player.
The Italian football federation (FIGC) said Gattuso would be presented to the media on Thursday.
"Gattuso is a symbol of Italian football," said FIGC president Gabriele Gravina.
"The blue shirt is like a second skin for him. His motivation, his professionalism and his experience will be essential.
"(He is) Aware of the importance of the objective we want to achieve. I thank him for the total dedication with which he has accepted this challenge."
Four-time champions Italy have failed to qualify for the past two World Cups and started their bid to reach next year's tournament in North America with a 3-0 loss to Norway last week.
Gattuso is an experienced coach and was last in charge of Croatian club Hajduk Split, helping them qualify for next season's UEFA Conference League.
His other former clubs include AC Milan, for whom he made 468 appearances as a player, Napoli, Valencia and Marseille.
Italy are next in action in Group I of qualifying with games against Estonia and Israel in September.
Spalletti was sacked after the Norway defeat, and Monday's win over Moldova was his last match in charge.
Italy missed out on the 2018 World Cup in Russia after losing a play-off to Sweden and then also failed to qualify for the 2022 finals in Qatar, suffering a shock exit from the play-offs at the hands of North Macedonia.
Gattuso has had a mixed coaching career since retiring as a player in 2013.
His only major trophy as a head coach was the 2019/20 Italian Cup with Napoli.
He lasted only 22 and 24 matches in charge of Valencia and Marseille respectively, while an announced deal with Fiorentina was rescinded just two weeks before his contract was due to begin in 2021.
According to Italian media, former Italy defenders Andrea Barzagli and Leonardo Bonucci will join his coaching staff.
Former boss Cesare Prandelli is expected to take over the youth teams.
The FIGC had been turned down by both Claudio Ranieri and Stefano Pioli before appointing Gattuso.