It launches the first installment of The Month on 31 August backed by a major advertising campaign from Rainey Kelly Campbell Roalfe/Y&R.
The Month will appear as a CD packaged within The Sunday Times magazine polybag. It is designed to complement the content of the newspaper's Culture section.
Music, films and gaming content will be part of The Month's package.
Its first issue features an exclusive interview with David Bowie plus several playable music tracks. It also includes exclusive previews of up-and-coming films.
Renault has signed as the headline sponsor of The Month. The Sunday Times has signed section sponsors including BT, Xbox, Mattel, Sky Sports and Radisson Edwardian for various sections of the CD-Rom.
Clive Milner, the managing director of Times Newspapers Limited, said: "The Month will extend our youthful reader base and provide advertisers with an exciting new vehicle to promote their product."
The Sunday Times opted to provide the content via a CD because it will allow for quicker access and better sound quality than the internet. The CD also provides capacity for direct selling of CDs or concert tickets.
RKCR/Y&R has developed a 60-second TV spot that will launch The Month.
Andrew Mullins, the marketing director of Times Newspapers Limited, said: "We have more young ABC1 readers than any other quality paper, and they expect much more from their newspaper. Entertainment is especially important to these readers, who have been brought up using computers. The Month is the perfect medium for them."