Twitter has a new CEO...

Twitter has named co-founder Jack Dorsey as chief executive officer, betting its co-founder and former leader will be able to revive its fortunes in a second spell at the helm.

The social-media company has failed to impress investors following its 2013 initial public offering.

Dorsey, 38, will also keep his job as CEO of mobile-payments company Square Inc, the payments and financial services company he co-founded in 2009, Twitter said.

The pick may make it easier to restore confidence at Twitter amid management turmoil and slowing growth; Dorsey has already been involved in its operations as interim chief.

The social-media company hired Spencer Stuart in June to run the recruitment search after former boss Dick Costolo stepped down in June. The company had considered other candidates including former Cisco Systems executive Padmasree Warrior and CBS Interactive president Jim Lanzone, people familiar with the matter have said.

Twitter has more than 300m users, far behind the 1.5bn people hooked on Facebook's online social network. Even Facebook's photo-sharing application, Instagram, has surpassed Twitter in size.

Worries about Twitter's future have been compounded by the San Francisco company's inability to turn a profit more than nine years after its inception, even though its revenue has been steadily rising. Shortly after becoming interim CEO, Mr Dorsey acknowledged Twitter's sub-par performance during a review of the company's disappointing second-quarter results.

If Mr Dorsey is chosen as CEO, it would mark his second reign at the company that he helped start in 2006. He was Twitter's original CEO until being cast aside in 2008 in a coup engineered by another company co-founder, Evan Williams.

Mr Dorsey remained Twitter's chairman and one of its largest shareholders with a 3pc stake currently worth about $600m. He returned as a company adviser shortly after Mr Costolo replaced Mr Williams as Twitter's CEO in 2010.

Source: The Telegraph.