The posts are in areas such as e-commerce, technology, social media, research, risk management and online marketing.
The jobs will be created between now and the end of 2015.
Paddy Power has created 190 jobs since the beginning of April and currently employs 2,172 people in Ireland.
The new jobs will bring the bookmaker's Irish workforce to 2,783.
Strong international online growth in recent years has seen the company expand its operations into the UK, Australia and Italy.
It has also located resources in the US to prepare for a launch into the online market there.
Taoiseach Enda Kenny said the expansion was a statement of confidence by the company in Ireland and its people.
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