Cole, 32, has signed a two-year deal after being released by West Ham United.
"This is a massive club and there's a massive opportunity for the club to push on," he was quoted as saying on BBC Sport.
"I've been lucky enough to have a really good career but there's still a lot more I want to achieve."
The London-born player, who won 56 caps for England, began his career at Upton Park before moving in 2003 to Chelsea, where he won three league titles.
He joined Liverpool in 2010 but could not hold down a regular first-team place, and spent the 2011-12 season on loan at French club Lille.
Cole is Villa's second signing of the close-season, after Philippe Senderos on a free transfer from Valencia.
(Writing by Stephen Wood, editing by Amlan Chakraborty)
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