The 30-year-old, who had been linked with Real Madrid and Newcastle, will earn a reported �3m a season.

Rivaldo opted on a move to Serie A after being released from his contract a year early by Barcelona in a cost-cutting exercise.

The Brazilian ace said he was now looking forward to facing international team-mate Ronaldo, who plays for cross-town rivals Inter Milan.

"I'm already keen about this idea of playing against Ronaldo," he said.

"It will be very interesting. He's my friend, as we showed in the World Cup, but now we are playing for different sides.

"I think the first game between Milan and Inter will be one of the big attractions of the Italian championship.

"I'm very happy to have reached an agreement with Milan. It's a club which recognises me as a world champion."

Coach Carlo Ancelotti is confident that the former World Player of the Year will boost their hopes of lifting their first Serie A title since 1999.

Ancelotti added: "Rivaldo is outstanding. With him it will be easier to win the Scudetto.

"Now I have many champions and an attacking team.

"Somebody will have to sit on the bench but I don't think that will be a problem."