The 32-year-old, who was a free agent after leaving Qatari club Al Rayyan, has not played in England since departing then-Premier League side Blackburn Rovers in 2012.
"Yakubu brings a fantastic scoring record to this club and his addition will complement the strikers we've already got at Reading and help us to improve as a team in latter stages of the season," manager Steve Clarke told the club's website.
Yakubu boasts an impressive record in English football having scored 114 league goals during spells at Portsmouth, Middlesbrough, Everton, Leicester City and Blackburn.
Reading are 16th in the Championship table with 34 points from 28 matches.
(Reporting by Michael Hann, editing by Ed Osmond)
