LinkedIn has revealed the amount of profit generated by premium subscriptions for the first time since its acquisition through Microsoft.
The task networking platform announced Thursday that it earned $1. 7 billion from its premium subscribers in 2023.
The number of subscribers rose 25% year-on-year, fuelled by its AI tools.
LinkedIn COO Dan Shapero said in a post that more than 70% of its premium users use its AI team to write articles and comments and for profile recommendations.
“Early tests also show that 90% of subscribers to our AI-powered business find it useful,” he said.
Microsoft revealed in January that LinkedIn’s profits grew 9% in the last quarter, while the club’s expansion had been accelerating for more than two years.
It has not said how much revenue LinkedIn generated since Microsoft bought the company for $26.2 billion in 2016.
LinkedIn’s “Premium Career” and “Premium Business” plans are $29. 99 and $59. 99 per month.
Shapero, who has been on LinkedIn since 2008, also said that more AI features are on the way. As Business Insider has reported in the past, Microsoft is rushing to implement AI tools, and senior executives lack workers to be “disconnected” in their technical engineering.
“Expect to see more updates from us as we look to help you achieve more in your career, your business, or your job search, and with the help of AI we can further power your success,” Shapero said.
LinkedIn laid off more than 1,400 workers in two rounds of job cuts in May and October last year.
Some employees learned of the October layoffs earlier than expected when a mysterious list of around 500 names was posted on the unnamed office forum Blind the weekend before the layoffs were announced.
LinkedIn’s HR team created a list of the names on GroupID, a third party system that allows the company to create distribution lists, called OctoberUpdate, which was then leaked on Blind.
LinkedIn did not immediately respond to a request for comment from Business Insider, made outside of general business hours.
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