The annual summer festival will be hosted by Ryan Seacrest and streamed live on LiveXLive and on iHeartRadio stations nationwide starting at 7 p.m. EDT.
The virtual ceremony will also celebrate the history of KIIS FM Wango Tango by featuring past iconic performances from the festival.
Past performances from Ariana Grande, Ava Max, Britney Spears, Bruno Mars, Camila Cabello, Halsey, Jason Derulo, Jonas Brothers, Lady Gaga, Machine Gun Kelly, Mariah Carey, Maroon 5, Shawn Mendes, Taylor Swift and more will be presented.
"For 2021 we're taking a look back at what we call The KIIStory of Wango Tango, and are reminded and humbled by the influence this original festival has had on listeners and artists alike," John Ivey, president of CHR programming strategy for iHeartMedia and program director of KIIS FM said in a statement.
"When you look back, Wango Tango's significance in pop culture and the music industry is pretty profound. Many artists have launched their careers or new projects as part of this show and we're excited to relive a few of those memorable performances, hear some artists share their personal Wango memories and see all-new performances by Justin Biber and Ed Sheeran. It will definitely be a special event," he continued.
Sheeran is returning to music after taking a break from recording throughout most of 2020. He released new song "Afterglow" in December.
Bieber last released his sixth studio album titled Justice in March, which contains the single "Peaches."