Howe has been impressed by the forward's attributes and his hard-working attitude and moved to reward him with a deal until summer 2012.
Ings, 18, was last week recalled to the Cherries ranks to bolster the club's striking resources in the wake of Josh McQuoid's departure to Millwall.
The young forward caught the eye during a fruitful loan spell at Conference South outfit Dorchester Town, where he found the net seven times in 13 appearances.
He could be in line to feature in the League One clash at Bristol Rovers on Saturday and is the latest homegrown frontman to be elevated into Cherries' first-team set-up.
Ings signed his first professional contract a short-term three-month deal when he graduated from the youth team in the summer and extended his stay in September until the end of the current campaign.
And his progress was recognised again earlier this week when he received a further year at Dean Court.
Howe was delighted to secure Ings's future on a longer deal and revealed he had been impressed with the teenager's application.
The Cherries manager told the Echo: I've been really impressed with Danny on a number of levels.
He went to Dorchester, which is a tough league and really physically demanding, and he did really well for them and scored a number of goals.
I've also been impressed by how he's trained. He has come back to us and been really bright and really sharp.
He's showed a really good attitude and determination to kick on and succeed in professional football, so we're delighted to extend his contract and we feel that he's got the potential to improve in the next couple of years.
Discussing the attributes of Ings, who can play as both a winger and a central striker, Howe added: He's technically very good. He's got really good movement, he's sharp and, most of all as I say all the time with young players, his attitude is the thing that's probably impressed me most.
He's got a real desire, you can see that every day in training. He's always asking where he can improve and how he can improve and then spends times after training putting that into practice.
With that attitude and the attributes he has, we've got high hopes for him.
As well as McQuoid, Ings follows in the footsteps of fellow homegrown strikers such as Sam Vokes and Brett Pitman by earning his chance in the senior ranks.