The deal with BSkyB will span three years and includes 242 games a season from the Barclays Premiership not shown live, and will allow customers of BT Vision to watch the games from 10pm on the day of the match.
Vic Wakeling, managing director of Sky Sports, said: "We can now promise football first until the end of the decade and new ways of watching games, on demand, through broadband.
"Sky remains the home of football."
Earlier this month, the FA awarded BSkyB only four packages of the six live packages available, allowing them to show 92 matches from seasons 2007-2010. Sky paid £1.314bn for the rights.
Due to new European Commission restrictions, Sky had been limited to a maximum of five.
Irish sports broadcaster Setanta was awarded the remaining two in a £392m deal. The 46 games Setanta won to are mostly Saturday evenings and Monday night games.
Sky's current £1.02bn four-year deal with the Premier League expires at the end of the 2006/2007 season.
If you have an opinion on this or any other issue raised on Brand Republic, join the debate in the .