Force India have secured a long-term agreement for the use of a full powertrain supplied by Mercedes-Benz.
The Silverstone-based team have been using engines supplied by the German manufacturer since 2009, but the new deal will also see them using Mercedes gearboxes and hydraulic systems.
Team principal Vijay Mallya hailed the news as an important step in the development of the team.
"Our new agreement with Mercedes-Benz for the coming years is the most significant in the history of Sahara Force India," Sky Sports News quotes Mallya as saying.
"With new powertrain regulations being introduced next year, I can't think of a better partner to work with as Formula One enters a new and exciting era."
"The agreement gives us the long-term stability we require and will enable us to continue our journey towards the front of the Formula 1 grid."
The deal will begin next year, when F1 cars take on new 1.6-litre V6 turbo engines.