"The opportunity to sign a player of Chris's quality was simply too good to turn down - he is a wonderful goal kicker and is able to play in a number of positions across the backline," Ryan told www.gloucesterrugby.co.uk
"Chris is the calibre of player we want to attract to the club - he has big-game experience that will be vital in the Heineken Cup, will aid the development of our younger players and be a tremendous asset to the squad.
"To get the chance to sign a player of his international experience is a big deal for us and I think it clearly indicates where we want to be going as a progressive, developing club. Chris is an ultra-reliable kicker and outstanding runner and they are two great qualities."
Following scrum-half Rory Lawson's move last year, Paterson is the third Scottish player to join Gloucester from Edinburgh this summer alongside prop Alasdair Dickinson and flanker Alasdair Strokosch. All four players are currently training with the Scotland national squad at Murrayfield in preparation for the World Cup.
Paterson said: "What has really impressed me is the professionalism and environment at Gloucester - it was exciting to speak to Dean Ryan and Bryan Redpath about where the club is heading and I cannot wait to get involved.
"The squad is one of the most competitive in the Guinness Premiership, the training facilities are first-class and the new development at Kingsholm will only enhance what is already one of the very best atmospheres anywhere in rugby.
"I was lucky enough to be part of an excellent Edinburgh squad but this opportunity to join Gloucester was simply too good to turn down and I am looking forward to proving myself against the best in the Premiership and Heineken Cup."
The 29-year-old has won 74 Scotland caps following his debut in 1999 at the age of 21 and since then he has become one of Scotland's most consistent and inspirational performers.
In 2004 he became the youngest ever Scottish player to win 50 caps and is now second only to Gavin Hastings on the all-time list of Scottish points scorers. A year later he equalled Hastings' record of 18 points in a match when he landed six penalties against Italy.
That season (2005) he was named the BBC's full-back of the Six Nations and runner-up the following year. In the Six Nations Championship of 2006 he was one of Scotland's best players, scoring invaluable points throughout the competition and finishing with 17 from 19 shots at goal.
Paterson was also second highest points scorer in 2006 with 57 (47 from kicks), despite Scotland scoring the second lowest amount of points (78) in the Championship. Statistically he was the best goal kicker in international rugby that year.