Tite departed after Croatia knocked Brazil out in the quarterfinals in Qatar last year and Fernando Diniz will lead the team for a year before Ancelotti's arrival.
The Italian will be in charge for the 2024 Copa America and beyond. Here are three reasons he could prove successful with the record five-time World Cup winners.
Calm character. Ancelotti, who has written a book named "Quiet Leadership," is known for his calm and warm character, making him an ideal candidate for one of soccer's highest pressure jobs.
The Italian has demonstrated his ability to succeed in similar environments with some of Europe's biggest sides, including Real Madrid, Chelsea, Bayern Munich and Paris Saint-Germain.
With Brazil's fiercest rival Argentina reigning world champion, the pressure on Brazil to succeed in the 2026 World Cup will be higher than ever.
Ancelotti is also set to be the first foreign coach to lead Brazil into a World Cup.
However, if anybody is cut out to thrive in -- or despite -- heavy scrutiny from fans and national media, it is the unflappable, avuncular Ancelotti.
"Ancelotti would be ideal because everyone, including opponents, respects him," said Brazil great Zico in February. "He knows football and is aware that players are more important than tactics."
Ancelotti is considered a superb man-manager, which will allow him to get the best tune out of a national team rich in talent.
Strong relationships. With Neymar turning 34 ahead of the 2026 World Cup, there is a strong chance the forward and talisman of this Brazilian generation will not feature.
The Paris Saint-Germain forward even hinted at international retirement after Croatia's triumph over Brazil in Qatar.
Instead, Vinicius Junior will likely be Brazil's key figure, a player who has developed brilliantly under Ancelotti at Real Madrid.
The Italian has helped the 22-year-old turn from a figure of fun, because of his inconsistent end product, into arguably the Spanish league's biggest star.
Rodrygo Goes is also developing well with Ancelotti at Madrid, along with defender Eder Militao.
"We tell Ancelotti that we are waiting for him," said Rodrygo in March, keen for the coach to take over.
Meanwhile Manchester City goalkeeper Ederson also joked that he wanted to knock Real Madrid out of the Champions League in order for Ancelotti to take over Brazil as soon as possible.
City triumphed, but Ederson and his teammates will have to wait until 2024 for Ancelotti to start work, barring a premature departure from Real Madrid.
Personal challenge. Ancelotti is the only coach in history to win all five of Europe's biggest leagues and will find a new challenge in international soccer.
The World Cup is the final puzzle piece left for Ancelotti to complete his glittering career.
Ancelotti won the Champions League twice as a player with AC Milan and twice more as a coach there, along with two further wins while in charge of Real Madrid -- four triumphs puts him ahead of any other coach.
The 64-year-old seemed to have fallen out of the elite after taking charge at Everton in 2019, but Madrid's surprise move to re-appoint him in 2021 has been fruitful for both coach and club.
Now Ancelotti will try to finish his time at the Santiago Bernabeu in style before setting his sights on glory with Brazil, and completing his personal trophy cabinet.
rbs/pi
© Agence France-Presse
Can we get Zidane Back.???
So we see Coach Ancelotti in USA in 2026. This will make it all the more special. Looking forward. Coming up fast. CONCACAF Quaiification will be a little boring with USA Mexico and Canada already in - so - why not start watching CONMEBOL? Carlo pulling strings for Brazil and Bielso for Uruguay - tactics will be all over the place.