The Mercury News said the 54-year-old Gruden had signed the richest coaching contract in the National Football League, with the agreement worth $100 million over 10 years.
Gruden's $100 million contract with the Raiders is the largest in National Football League history.
Gruden replaces Jack Del Rio, who left the Raiders on December 31 after three years.
By noting that nothing was official yet, Gruden is pretty much confirming that he will be the Raiders' next head coach.
The Oakland Raiders announced their decision to hire Gruden via social media and on Twitter.
Gruden is returning for a second stint as coach of the Raiders after being traded to Tampa Bay following the 2001 season.
While you may or may not be familiar with his work, or who he is, here's five things you should know about the team's newest Head Coach. In 2016, Oakland won 12 games, which gave Del Rio a four-year extension, but this season the team failed to deliver with a 6-10 2017 season.
In 2008, the Super Bowl-winning Head Coach parted ways with the Buccaneers, and ventured into the broadcast booth. For ESPN, Gruden was present for the 2010 Rose Bowl and 2010 BCS National Championship game for ESPN radio. While the quality of the Monday Night games for ESPN hasn't been that great, folks have tuned in to hear what a souring relationship sounded like in real time.
Gruden has not coached since 2008 and has been working as an National Football League television analyst for the last nine years.