Terms weren't released, but a source told ESPN's Adam Schefter the deal is for one year and worth $7 million, with $5.5 million in guaranteed money.
Tight end was an area of need for the Seahawks, with Will Dissly coming off a ruptured Achilles tendon, his second major injury in as many NFL seasons. Veteran tight end Ed Dickson is a candidate to be released after missing most of his two seasons with Seattle due to injuries. Luke Willson, whom Seattle re-signed after trading Nick Vannett last year, is an unrestricted free agent. Jacob Hollister is a restricted free agent.
Because Olsen was released by Carolina, his addition won't cost the Seahawks a compensatory pick.
Seahawks quarterback Russell Wilson posted a tweet later Tuesday expressing excitement over Olsen's signing.
This aged well.. https://t.co/hHIB4vDuln— Russell Wilson (@DangeRussWilson) February 18, 2020
Olsen became a free agent after he and the Panthers mutually agreed to part ways after nine seasons. A three-time Pro Bowl selection who has played 13 NFL seasons, he said he was still interested in playing in the NFL.
Olsen's cap number for the 2020 season was to be $11,675,000 after he ruled out an extension to lower that number.
After dabbling in broadcasting during some time off, Olsen returned to the field in 2019 to prove he could still be among the top tight ends in the league. From 2014 to 2016, he became the first tight end in NFL history to have 1,000 receiving yards in three straight seasons.
The 31st pick by the Chicago Bears in 2007, Olsen had 52 catches for 597 yards and two touchdowns last season. He has 718 career catches for 8,444 yards and 59 touchdowns.
Olsen, who will turn 35 on March 11, holds the Panthers' franchise record for single-season receiving yards (1,104 in 2015) and receptions (84 in 2014) by a tight end.
ESPN's David Newton and Brady Henderson contributed to this report.