Goal understands the Seagulls beat off competition from Aston Villa to land the talented 21-year-old.
Akpom enjoyed a loan spell with Hull City last season, helping them gain promotion to the Premier League, and will be hoping to repeat that feat with Chris Hughton’s side.
The Brighton boss says he is thrilled to bring in a player of Akpom’s quality and believes his pace can trouble Championship defences.
"As soon as we allowed Elvis Manu to go out on loan we knew we wanted to add to the forward area, so we are delighted to bring in someone of Chuba’s calibre,” he told the club’s official website.
“He is a young talent who gained valuable experience with Hull in the Championship last season, will give us really good pace in the forward areas and complement the other strikers at the club.
"We fought off competition from other clubs to sign Chuba, and we would like to thank Arsenal for the opportunity of working with him for the rest of the season.”
Akpom has made just one appearance for Arsenal this season, in the EFL Cup win over Nottingham Forest, and has recently returned to fitness after a lengthy back injury.