"One of the greatest fast bowlers of all time, Waqar Younis will be the bowling coach for SunRisers Hyderabad!" the team said in a tweet.
"Yes, I have decided to join the Sunrisers Hyderabad. I am very happy to join the IPL and I hope my experience will help them," Younis was quoted as saying.
Younis has previously coached the Pakistan national team as national coach and bowling coach till mid-2011.
Sunrisers, who took over the Hyderabad franchise from Deccan, have Tom Moody as their head coach and Kris Srikkanth as their team mentor.
Younis' wards in the Hyderabad team will include South Africa's Dale Steyn, Ishant Sharma, Clint McKay and Sudeep Tyagi.
The 41-year-old picked 373 wickets in 87 Tests. His ODIs tally read 416 in 262 matches.
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Yet another waste of talented coach not utilized by PCB.