Joe, 20, signed a six-figure contract with Cheryl's label Universal just days after his Operastar triumph.
And he has already started choosing tracks for an album - which will be a mix of popular "classic songs".
It is a massive boost for the 2009 X Factor champ, who was ditched by Simon Cowell's label Syco after just one album. A TV Biz source said: "Joe is thrilled. It looked like he was on the scrapheap but Cheryl has come to his rescue and put in a word reminding bosses what a big talent he is."
Cheryl, 28, has cut all ties with Cowell, 51, after he failed to save her place on the US X Factor. Universal is Sony BMG and Syco's biggest rival. Our source added: "Joe and Cheryl have always had a bond and they keep in touch. "They both know what it's like to be ditched by Simon Cowell but are determined to make it on their own and show him what they're capable of."Joe's album will be rushed out to coincide with the start of the new series of The X Factor on ITV1, on August 22.
Its songs are expected to include Time To Say Goodbye, Over the Rainbow and Pavarotti hit Nessun Dorma. Joe said: "Since winning The X Factor, I have been on an incredible journey. My new album is a snapshot of where I am today."Universal said: "Joe is ready for the next stage in his musical career." He will be on its classical label Decca.