The star, who is hoping to re-start his career, has signed a new contract with Two Seas Records, a record company owned by Prince Abdulla Hamad Alkhalifa of Bahrain.
Jackson, who now lives in Bahrain, released a statement saying, "I am incredibly excited about my new venture and enjoying being back in the studio."
The disc, which is expected to be released in 2007, will be Jackson’s first since Invincible in 2001.
Michael Jackson has not been able to concentrate on his music for several years. Last year, he was acquitted on charges of sexual molestation of a minor.