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Microsoft is making lots of money from LinkedIn Premium — and users like its AI tools



  LinkedIn, since its acquisition by Microsoft, has disclosed its revenue from premium subscriptions for the first time. The professional network reported that it earned $1.7 billion from its premium subscribers in 2023, with a 25% year-on-year increase in the number of subscribers, driven by the use of its AI tools. The COO of LinkedIn, Dan Shapero, stated that over 70% of premium users are leveraging AI tools for writing posts, comments, and profile recommendations, while early tests indicate that 90% of subscribers with access to AI-powered job experiences find it beneficial.

 Furthermore, Microsoft revealed that LinkedIn's revenue had increased by 9% in the last quarter, and membership growth had been accelerating for over two years. The specific revenue generated by LinkedIn since its acquisition by Microsoft in 2016 has not been disclosed. LinkedIn offers "Premium Career" and "Premium Business" plans priced at $29.99 and $59.99 per month, respectively. 

Shapero also mentioned that more AI features are in the pipeline. Additionally, Microsoft has been actively working on implementing AI tools, with company leaders encouraging employees to adopt an innovative engineering approach. Shapero stated that more updates are to be expected as LinkedIn aims to enhance users' success in their careers, businesses, and job searches with the help of AI. Last year, LinkedIn underwent layoffs, affecting over 1,400 employees in two rounds of cuts. 

The October layoffs were partially leaked when a list of about 500 names was posted on the anonymous workplace forum Blind, created by LinkedIn's HR team using a third-party system. Finally, LinkedIn has not provided an immediate comment to requests made outside normal working hours from Business Insider.  

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