A formal announcement in this regard is expected to be made by the president himself later today evening.
"Obama will announce his intent to nominate Ash Carter as the next Secretary of Defence during an event at the White House in the Roosevelt Room at 10:00 AM," a White House official said.
The president will be joined by the outgoing Defence Secretary Chuck Hagel, and Carter for the announcement.
Hagel resigned last week, with officials privately saying he was forced out after losing the confidence of the White House.
From April 2009 to October 2011, he was Under Secretary of Defence for Acquisition, Technology and Logistics with responsibility for procurement of all technology, systems, services, and supplies, bases and infrastructure, energy and environment, and more than USD 50 billion annually in R&D.
Currently he is a distinguished visiting fellow at Stanford University's Hoover Institution and a lecturer at the Freeman Spogli Institute for International Studies.