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How LinkedIn Makes Money

Stashed in: LinkedIn, @reidhoffman

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LinkedIn has three business units:

Talent Solutions, which are tools for corporate recruiters, was $161.0 million, a 90% increase.

Marketing Solutions, which is advertising and job listings, was $83.2 million, a 68% increase compared to a year ago.

Premium subscriptions, which are sold to salespeople and job seekers to make connections, was $59.4 million in revenue, a 79% increase compared to a year ago.

So tools for corporate recruiters make more revenue for LinkedIn than ads and premium subscriptions combined (in January 2013).

How LinkedIn Makes Money

Frankly I'm surprised Premium subscriptions make them so much money.

Recently LinkedIn spent a lot of money on "Project Inversion", which is a fancy word for the effort to revamp LinkedIn's technical infrastructure and site architecture.

Looks like that effort paid off, if the revenue growth is any indication.

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