Jack Dorsey Becomes Permanent — Twitter Names CEO

For three months, Twitter has been searching for a permanent, new CEO since Dick Costolo departed.

Twitter confirmed the news Monday morning (Oct. 5) that the decision to appoint Jack Dorsey – Twitter’s founder – as permanent CEO was approved by the board on September 30. Mr. Dorsey will continue to serve as a member of the Board, but will no longer act as Chairman.

After weeks of discussion over whether the micro-blogging site would name Dorsey – who already has a full-time chief executive gig at Square, his mobile payments startup – the Twitter board on Monday picked the 38-year old tech guru to lead it out of a rough patch.

Dorsey has extensive experience in technology companies and has been the chairman of the microblogging company since October 2008.

Moreover, as the interim CEO, Dorsey has been very vocal about the future of Twitter.

Twitter dumped Dorsey his first time around, but its board of directors is now convinced he has the maturity and expertise to fix the problems that have caused the company’s stock to lose almost half its value in the past five months.

In the documents filed with the SEC today the company says that Dorsey won’t receive any direct compensation for being the CEO of Twitter and that there are no plans to provide any.

Dorsey will rely on key lieutenant Adam Bain, who has been elevated to the position of chief operating officer. This is one of the biggest differences between the websites, as Twitter displays all tweets in chronological order, which makes it much harder for users who don’t spend each day online to follow everything that is going on. “I’ll do whatever it takes”. Dorsey’s return to the CEO role will see him take on intense pressure to deliver on fulfilling the potential he has repeatedly said the company has.

Square was valued at $6 billion at its last funding round a year ago.

Since his interim role earlier this year, he has brought out features including a widely available “buy now” button that allows users to make purchases directly through Twitter.

Bain is highly respected at Twitter and has been an instrumental in signing new partnerships at the company, included a recent deal with the National Football League. The social-media company hired Spencer Stuart in June to run the search and has considered candidates including former Cisco Systems Inc executive Padmasree Warrior and CBS Interactive Inc President Jim Lanzone, people familiar with the matter have said.