The 27-year-old will spend the rest of the season on loan at the Philips stadium before PSV decide whether to take up an option to secure his services on a permanent basis. PSV coach Guus Hiddink was impressed by Thompson while working with the player in his dual role as coach of Australia, who he has just guided to the 2006 FIFA World Cup.
Thompson, who had been the only Australian international based in his country's new A-League, has played in Europe before, spending four years at K. Lierse SK in Belgium between 2001 and 2005. He will link up with compatriots Nathan Coe, Jason Culina and Lindsay Wilson at PSV, with all hoping to impress ahead of the finals in Germany.
Thompson has scored 20 goals in 16 internationals for his country, although 13 of those came in a 31-0 victory against American Samoa in April 2001. Meanwhile, PSV have handed midfielder Ismail Aissati, 17, and forward Roy Beerens, 18, new contracts until 2009 and 2008 respectively. Aissati has already made an impact, becoming the youngest Dutch UEFA Champions League debutant in the 1-0 win against AC Milan on 1 November.
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