Doyle has been a star in the Premiership this season with 10 goals and his signature is a huge boost for Reading. He has signed a 2 and a half year deal. Stephen Hunt has extended his contract (which was due to expire in the summer) until 2009.
"Kevin's contract extension is very significant and of major importance to our plans moving forward," said Director of Football Nicky Hammond.
"He has quickly become an outstanding Premiership striker, and the great thing about Kevin is that despite all his success and his meteoric rise in the past 18 months, he's still the same level-headed young man who joined us from Cork."
Hunt, 25, has been in and out of the side this season and received death threats through the post in the wake of the Cech incident, which Chelsea manager Jose Mourinho branded reckless.
But Hammond insisted there was more to the former Brentford man than that unfortunate incident in the first minute of his first top-flight start.
He said: "Stephen as been terrific for us since joining and I'm delighted that he's signed for two more years. He has great energy levels, bags of enthusiasm and is a real breath of fresh air around the training ground every day."
Chairman John Madejski added: "This is extremely good news and I am delighted that Kevin and Stephen have committed themselves to Reading.
"They are two of the nicest lads you could possibly wish to meet, and they are both very important players who epitomise everything that is good about football."
Doyle, who cost £78,000 to buy, is now rated an £8m player.