The former Pussycat Doll singer will reportedly be joined by Sharon Osbourne and Louis Walsh, who are also set to return.
Making up the final four will be show boss, Simon Cowell, who is the only judge not being replaced this year.
Nicole, who was last sat on the judging panel alongside Tulisa Contostavlos, Gary Barlow and Louis Walsh back in 2013, originally left the show to focus on her music career.
But after her last album bombed, Nicole is looking to re-establish herself on the show after Rita Ora made the decision not to return.
A source told the MailOnline: “Rita had been in discussions [to return] but it became apparent she was no longer the automatic top option.
“Nicole Scherzinger was a huge success whens she was on the X Factor a few years ago and has long been part of the X Factor family. She provided fun and entertainment and a huge personality to the show. She is the definite favourite to get the seat next to Simon.”
Radio 1 Breakfast Show host Nick Grimshaw was the first to quit the judging panel after just one year, with Cheryl Fernandez-Versini later confirming she wouldn’t be returning as she wanted to focus on her music career.
In the biggest shake-up of the show in years, new presenters Olly Murs and Caroline Flack have also been ditched after just one year to be replaced by longstanding original host Dermot O’Leary.
The big question is, will any of the changes have any effect on the show’s dwindling viewing figures? We’ll have to wait until September to find out when the 13th series kicks off.