The Blues were not initially expected to compete in the competition, but BBC Sport revealed that Manchester United had withdrawn 'partly due to UEFA Youth League (U19s) and also having smaller squad', opening a space to participate.
It comes just four seasons after Ipswich competed in the competition as a League One side. In 2026/27, Town's U21s will get the chance to play senior football against sides from the third tier and League Two.
After finishing fifth in the Premier League 2 last season, John McGreal's side will also feature in the Premier League International Cup and National League Cup.
Academy manager Ben Chenery said: “Our involvement in this competition is an excellent example of the club’s progress in recent years and we’re looking forward to our academy players experiencing another new challenge and a fantastic platform to perform”
“Gaining senior experience against EFL sides will be hugely beneficial to our players’ development. They rose to new challenges superbly last season and this year will see more fixtures against senior and international opposition.”
Ipswich confirmed: "A draw to determine the young Blues’ group stage opponents will take place on Thursday, 25 June. Taking place live on Sky Sports News at 2.30pm, Town will be in the southern section of the draw."