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LinkedIn
In the past week, I spent 10+ hours researching LinkedIn.

Here's a complete breakdown of this spectacular Microsoft's business unit.
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LinkedIn connects the world’s professionals to make them more productive and successful, and transforms the way companies hire, market, sell, and learn.

Brief History
LinkedIn was founded in 2002/3 by Reid Hoffman and some members of the Paypal Mafia.
In June 2016, Microsoft acquired the company (former $LNKD), paying 26.2bn dollars.
Since its beginning, revenue and users have grown very rapidly.

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Business Model

LinkedIn had over 13.8bn dollars in revenue in Microsoft's FY 2022. It makes money through 4 different sources:

  • Talent Solutions
  • Marketing Solutions
  • Premium Subscribers
  • Sales Solutions

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Further breakdown on each segment.

Talent Solutions (subscriptions)

Provides insights for workforce planning and tools to hire, nurture, and develop talent. Its products are:

LinkedIn Recruiter/Lite
LinkedIn Jobs
LinkedIn Learning Solutions
LinkedIn Talent Insights

Last heard stats:

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Marketing Solutions

Helps companies reach, engage and convert audiences.
Advertisements reach:
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Last heard stats:

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Premium Subscriptions

Enables professionals to manage their professional identity, grow their network, and connect with talent through additional services like premium search

No heard stats for the past 6 Quarters. Statista estimates that in 2021, there were 49M subscribers


Sales Solutions (subscriptions)

Helps companies strengthen customer relationships, empower teams with digital selling tools, and acquire new opportunities. It has two products:

Sales Navigator
Sales Insights

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There's no further disclosures on LinkedIn's complete financials. As of 2015, it had a gross margin of 86% and negative operating & net income margins.

Lastly, it's attracting creators for features such as the platform's Newsletter and to teach through Learning Solutions.
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