He will be introduced at a news conference at noon local time Saturday, because Major League Baseball discourages major announcements during the World Series. Game 7 is Friday night.
Dipoto has been senior vice president of scouting and player development for Arizona. He replaces Tony Reagins, who resigned in September.
MLB executive Kim Ng, Tampa Bay Rays executive vice president of baseball operations Andrew Friedman, New York Yankees executive Damon Oppenheimer, Texas Rangers assistant GM Thad Levine and former Los Angeles Dodgers Dan Evans were among the names mentioned for the job.
Ng, a former Dodgers executive, has interviewed for numerous GM openings in recent years and would be the first female GM in any of the major American sports if she lands one of the jobs.
Ken Rosenthal of Fox Sports was first to report the Angels' decision.
The Angels moved quickly to hire Dipoto, perhaps because of competition from the Baltimore Orioles, who also are searching for a GM. Dipoto interviewed in Baltimore on Oct. 18. In fact, the Angels were so quick that Evans and Levine never got a chance to interview.
Angels manager Mike Scioscia may have revealed the Angels' interest in Dipoto in a recent interview on 710 ESPN, when he said, "You need a really deep understanding of the game of baseball both from a statistical analysis and also from a scouting background."
Dipoto, 43, has one of the more eclectic backgrounds of any of the well-regarded GM prospects in the game.. He pitched in the major leagues for the Indians, Mets and Rockies from 1993 to 2000, going 27-24 with a 4.05 ERA in 390 appearances. In 1994, he had a cancerous thyroid removed and continued to pitch in the big leagues.
He began his scouting career in 2003 with the Red Sox and was with them in 2004 when they won the World Series. He also served as head of the scouting department for the Rockies before moving on to the Diamondbacks in 2006 to serve under Josh Byrnes, with whom he worked in Boston.
When Byrnes was fired in July 2010, Dipoto took over as interim GM before Kevin Towers was named GM in September. Dipoto worked out the trade with Reagins that sent Dan Haren to the Angels in exchange for four pitchers, including Joe Saunders and the Diamondbacks' best pitching prospect, lefty Tyler Skaggs. Dipoto also acquired Daniel Hudson, along with a minor leaguer, from the Chicago White Sox in exchange for Edwin Jackson.
The Diamondbacks completed a worst-to-first turnaround this season, capturing the NL West by eight games over the defending champion Giants. They lost in five games to the Brewers in the NL Division Series.
The Angels wanted to have a GM in place before the start of the free-agency period next month.
In addition to a GM, the Angels have several other front-office positions to fill, including farm director, assistant GM and some pro scouting jobs.
Reagins, who took over for Bill Stoneman in 2007, will remain with the Angels as a special assistant.
Information from ESPNLosAngeles.com's Mark Saxon was used in this report.