Dublin is one of the locations being considered by social networking website Twitter to locate its European headquarters.

Twitter is expected to announce a final decision in the new year. A spokesman for the IDA said the company was one of its 'prime targets'.

Twitter is one of the fastest growing companies on the internet with an estimated value of €2.8 billion. It has nearly 200 million users.

'We are actively considering several locations to create an initial and small presence in Europe in 2011,' a spokeswoman for the firm said.

If Twitter does come to Ireland, it would join similar companies such as Facebook and LinkedIn which have operations here.

Twitter said this week that it has raised $200m in financing, which values the company at $3.7 billion.