It is believed that details will be announced later this month with a launch planned for next year, according to reports.
The title would be the first “newspaper” designed exclusively for tablet devices such as Apple’s iPad.
The move to launch a title to be uploaded exclusively to a touch-screen tablet device is in line with News Corp’s ongoing plan to boost digital revenue amid a declining market for printed news.
In the UK, its News International business has introduced paywalls for The Times and News of the World titles and is said to be exploring options to develop its paid for content strategy.
News Corp chief executive Rupert Murdoch has previously described the iPad as a “game changer”. The publisher has not revealed details about “The Daily” but Murdoch last week cited the title as one of several “exciting projects” currently under development.