Jacobsen, who is Scotland's most capped prop having made 65 appearances for his country, will officially retire following Edinburgh's clash with Dragons on May 3.
"It's sad when you think about it, but I've got so many great memories from playing for Edinburgh and Scotland. I've done most of the things I wanted to do on the rugby field and I feel very lucky," he told the club's official website.
"I don't feel like I have to chase anything anymore, or prove anything. It's been a massive part of my life since I played for Edinburgh Under-16s, and that was 20 years ago.
"You have to stop playing sometime and, for me, that time is now. It's time for me to move on with the rest of my life, return to my trade and probably start my own business."
Jacobsen has made 284 appearances for the Scottish club.