Microsoft reported its second-quarter results, disclosing that the revenue of LinkedIn (owned by the tech giant) grew by 9% over the past year, TechCrunch reports.
Commenting on the results, Microsoft CEO Satya Nadella confirmed that over the past 12 months, the revenue from premium subscriptions on LinkedIn has exceeded $2 billion. The social network currently has more than 1 billion users, both paid and free.
The media company does not disclose the total revenue for this 12-month period, as well as what revenue LinkedIn's other business units receive. But there are some benchmarks:
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In March 2024, LinkedIn reported that revenue from premium subscriptions for the 12 months totalled $1.7 billion;
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It is estimated that in 2024, LinkedIn's revenue was about $16.2 billion. This means that premium subscriptions account for about 12.5% of LinkedIn's revenue.
These figures are impressive, but new areas of Microsoft's business, such as artificial intelligence, are growing even faster and may soon overshadow it. Earlier, Nadella said that annual AI revenue in the quarter was $13 billion, up 175% year-on-year.
Later, LinkedIn stated that it expects future revenue to grow in the “low to mid-single digits”, driven by a tailwind in its Talent Solutions division.
However, the $2 billion figure is important for LinkedIn and shows that the company is making efforts to include new additional features in paid tiers to convince more users to sign up and pay for them. Over the past two years, the total number of users has grown by about 50%, the company told TechCrunch.
