Lotus will use Red Bull gearboxes and hydraulic systems from the 2011 season, the new Malaysian-backed team announced on Tuesday morning.
It is expected the team, to be called Team Lotus next season, will also shortly announce an agreement to use Renault's customer engine in 2011.
The news will mean Lotus and Red Bull will use the same engine/gearbox/hydraulics package in formula one, which according to team boss Tony Fernandes is a "real statement of our intention".
A media statement said the deal is for 2011 "and beyond".
Lotus has expressed misgivings with its Xtrac gearbox and hydraulics during its debut season this year, and has already terminated its engine contract with Cosworth.
"This deal gives our design and aero teams a very exciting platform to work with," said technical boss Mike Gascoyne.
It is the first time Red Bull has supplied a gearbox to a customer team.
"The fact that Red Bull Technology has been chosen to be a supplier to another team despite its short history demonstrates how much we have achieved since our first season," said Red Bull team boss Christian Horner.
Heidfeld In Talks For 2011 Race Seat
Nick Heidfeld's manager is confident the German will find a race cockpit on the 2011 grid.
One race after the 33-year-old secured his return with Sauber for the last rounds of 2010, the Swiss team announced it has signed Mexican rookie Sergio Perez for next season.
It is a blow for Heidfeld, but his manager Andre Theuerzeit insisted there are talks with other teams about 2011.
He told the German news agency SID that Heidfeld was "not unprepared" for the Perez news.
"There are still cockpits available in formula one for next season," said Theuerzeit. "At the moment we are in negotiations and we are confident there will be a positive outcome."
The best potential cockpit for 2011 is Renault's, but the Enstone based team's French boss Eric Boullier has played down suggestions Heidfeld's recent role with Pirelli gives him an advantage.
"That Nick Heidfeld should be first choice?" he mused in an interview with F1's official website.
"Because he sits on important information and would without doubt give them to his new team? I think that Pirelli will inform all the teams in due course," said Boullier.