According to Deadline.com, “The Colbert Report” host will be taking over the show when Letterman retires next year.
The site says that CBS has signed a 5-year-deal with the “Daily Show” alum.
Colbert was among the top picks to replace Letterman. Other favorites included Jon Stewart, Chelsea Handler, Craig Ferguson and Chris Rock.
While Ferguson won't be filling Letterman's shoes, Dave's retirement is still a big win for the "Late Late Show" host. The Scottish comedian reportedly has a clause in his contract stating that if CBS doesn't offer him Dave's job, he will receive a huge payout.
The New York Post estimates the sum at $5 million, while the New York Daily News puts it between $8 and $12 million.