Microsoft, which purchased LinkedIn for $26.2 billion in 2016, disclosed in January that LinkedIn's revenue had grown by 9% in the last quarter and membership growth had been accelerating for over two years. However, it did not disclose the total revenue generated by LinkedIn since the acquisition. Shapero also indicated that more AI features are in the pipeline.
Key takeaways:
- LinkedIn announced it made $1.7 billion from its premium subscribers in 2023, marking the first time it has revealed this revenue since being bought by Microsoft.
- The number of premium subscribers increased by 25% year-on-year, largely driven by the use of AI tools.
- LinkedIn COO Dan Shapero stated that over 70% of premium users are utilizing AI tools for tasks such as writing posts and comments and for profile recommendations.
- LinkedIn laid off more than 1,400 workers in two rounds of cuts in May and October of the previous year.