Popular talk show host Ellen DeGeneres is starting her own record label where she plans to find and sign up new artists, like a certain 12-year-old singing sensation who recently appeared on her show.

DeGeneres, who is also a judge on 'American Idol', will make a formal announcement on her self-titled television show on Wednesday that she is starting a music label that will be known as 'eleveneleven'.

She has already signed Greyson Chance as her first artist, a 7th grader who became a YouTube sensation after posting a video of himself playing the piano and singing Lady Gaga's hit song 'Paparazzi' at a sixth grade music festival on the website.

Chance, also hailed as the 'new Justin Bieber', was invited to appear on the DeGeneres' show on May 13. His appearance on the show sparked huge interest in his video which has garnered over 20.6 million views as of yesterday. Since then, he has also posted two original compositions on YouTube -- "Stars" and "Broken Hearts."

"Greyson ... inspired me to start a record label called eleveneleven. He is my first artist and we are making a record together," said DeGeneres in a statement.

Before Chance, DeGeneres has repeatedly called viral favourites from YouTube, such as up-and-coming Filipina star Charice Pempengco, to perform on her show and said that she will continue to use her show as a platform to find new artists, whom she will sign to eleveneleven. The record label is being set up in collaboration with Telepictures Productions.

Madonna's manager, Guy Oseary, and Lady Gaga's manager, Troy Carter, have signed on to co-manage Chance.