Yankees general manager Brian Cashman said Sabathia would undergo the surgery on his right knee on Wednesday, according to the Major League Baseball team's website.
The 33-year-old Sabathia last started for the Yankees on May 10. He underwent an MRI exam on July 3 after swelling developed in his knee following a rehab start at Double-A Trenton the day before.
The left-hander, who has a degenerative knee condition, struggled in eight starts this season, posting a 5.28 ERA and a 3-4 record.
The Yankees lost each of the last three games he started.