We report the first observation of double radiative capture on pionic hydrogen. The experiment was conducted at the TRIUMF cyclotron using the RMC spectrometer and detected gamma-ray coincidences following pi(-) stops in liquid hydrogen. We found the branching ratio for double radiative capture to be [3.05+/-0.27(stat)+/-0.31(syst)]x10(-5). The measured branching ratio and angle-energy distributions support the theoretical prediction of a dominant contribution from the pipi-->gammagamma annihilation mechanism.