AssetsTill these falls of 2016 in LinkedIn more than 433 million people are registered; six million — from Russia.
The leading consultant of Spice IT Recruitment HR company Mark Kandaurov in a conversation with Jellyfish explained that practically all recruiters and HR specialists in Russia use LinkedIn. According to him, most often the summaries on LinkedIn are placed by specialists from development, engineering (oil industry), IT specialists, the staff of auditing and financial companies. According to Kandaurov, generally it is people from the large cities — Moscow, St. Petersburg, Novosibirsk. They are focused not only on Russian, but also on international market.
For June, 2016 the number of the registered users of LinkedIn exceeds 443 million that is 19% more, than the previous year. 60% of participants of social network use it by means of mobile devices.
2015: Revenue of $3 billion, a loss - $166 million
For 2015 LinkedIn gained nearly $3 billion against $2.2 billion in the 2014th. Annual net losses jumped up more than by 10 times, having made $166.1 million.
Data of users of LinkedIn appeared in open access
On November 24, 2019 it became known that American the security researcher Vinny Troia detected the available database, containing more than 4 TB information - in total 1.2 billion records including data from profiles of hundreds of millions of users social networks Facebook Twitter, LinkedIn and Github. In more detail here.
The average salary — $157 thousand.
Negotiations with Roskomnadzor ended with nothingRussia.
The vice president of the company Eriel Ekstin told: "We met Roskomnadzor in December to discuss requirements of the law to localization. Despite our negotiations, we still did not find understanding with Roskomnadzor which would lead to an unblocking of LinkedIn and would allow us to provide service to users from Russia again. It means that by LinkedIn it will be still blocked in Russia". At the same time he noted that the company did not violate the Russian law and remains open for dialog with Roskomnadzor.
LinkedIn declared plans of return to Russia
By words Blya, the company management attaches great value to close work with the Russian government for the benefit of resumption of work in Russia. At the same time the vice president of network could not call possible terms of an unblocking of LinkedIn in Russia.
By LinkedIn it is blocked in Russia
Russia blocked network of professional contacts LinkedIn. The court closed access to service in the claim of Roskomnadzor: it was not pleasant to department that the company still stores personal data of the Russian users on the servers located outside the Russian Federation. The regulator sent the instruction about blocking of LinkedIn to providers on November 17. Blocking concerns both the website, and mobile application of social network.
According to TNS, in August, 2016 the Russian audience of LinkedIn made 2.6 million users. In LinkedIn was estimated by the number of the registered Russians at 6 million people living in the country and 4 million more — beyond its limits.
— First of all blocking of this resource will complicate to the companies search of heads of an average and the top management. Without LinkedIn to the employer who has no sufficient base of contacts and knowledge of specific professionals in the market will look for much more difficult the necessary people and more often it is necessary to address the help of recruiters — the managing director of recruiting company Antal Russia Michael Germerschausen considers. In turn, the representative of the same company Nadezhda Styazhkina claims that to speak about influence of blocking on labor market still early — LinkedIn was only one of many tools for HR specialists, and not to the most important.
LinkedIn continues to do email mailing, trying to save audience. To use social network from any device, it is possible to bypass blocking, for example, through VPN.
Access to a resource was closed because of threat of national security as in it there was the greatest number of personal data leakages, the head of Roskomnadzor Alexander Zharov reported in an interview of NTV. The official disproved the version according to which LinkedIn is first signs on which Roskomnadzor approves the methods, and then will undertake already serious social networks. "Actually, the reason was another. We paid attention that from social network LinkedIn there was the greatest number of leaks of personal data", – Zharov in an interview to the Pozdnyakov program of NTV television channel noted. The head of Roskomnadzor also told that in 2012 there was already a similar precedent with LinkedIn. Then the given more than 170 thousand accounts of users (contact information, the e-mail addresses) appeared in open access.
Roskomnadzor did not obtain from LinkedIn information on localization of personal data of Russians in the territory of the Russian Federation. Zharov emphasized that it is related to the level of national security. The LinkedIn company, according to the state official, is going to decide on how they will comply conditions of the Russian law "About Localization of Data", only after the procedure of its sale of Microsoft company comes to the end.
Russia wants to block LinkedIn?
On October 25 it became known that the social network LinkedIn can be blocked in Russia. Tagansky Court decided to limit access to the website upon the demand of Roskomnadzor in August; On November 10 the Moscow City Court will consider the appeal on this solution.
Supervising department accuses social network of violation of the law "About personal data". According to the amendments adopted in September, 2015, all foreign companies working with personal data should move servers to the territory of Russia — that data of Russians were not stored outside the country. It was initially planned that amendments will become effective on September 1, 2016, but later the State Duma stopped on date on September 1 the 2015th.On October 26, 2016 the press secretary of Roskomnadzor [[[Ampelonsky Vadim|[Ampelonsky Vadim]]]] told that claims to LinkedIn are connected with date leaks of users (in the 2012th 117 million passwords of users of social network were stolen; On October 19 the 2016th the Russian hacker suspected of it is delayed in Prague).
"This summer we sent them in a pre-judicial order two letters with a request to provide the information on performance by them of the law on localization of personal data in the territory of the Russian Federation" — Ampelonsky said. According to him, LinkedIn responded to letters with "formal replies".
LinkedIn in case of blocking can become the first social network prohibited in the territory of the Russian Federation in connection with the law "About Personal Data". At the same time LinkedIn is not the only foreign company which did not fulfill the requirements of the law. Facebook and Twitter also did not move the servers to the territory of Russia. But in October, 2015 it was made by the popular Viber messenger.
Roskomnadzor has no claims to the Twitter microblogging service and Facebook social network, the press secretary of department Vadim Ampelonsky said. TASS reports about it. "We have a settled dialog with Facebook and Twitter on observance of a number of laws, including the law on localization of bases of personal data", – Ampelonsky told Kommersant of PSK radio station. He added that "so far everything suits us". As Ampelonsky told, Roskomnadzor checked not only LinkedIn, but also other companies working in this sector, including SuperJob and HeadHunter. According to him, department watched how collecting and processing of personal data is performed.
If the website of LinkedIn after all is blocked, to come on it by a usual method, using the normal Internet browser, it will not turn out. As for the application of LinkedIn, from AppStore or Google Play it, of course, will not disappear, but whether it will work at the territory of Russia, it is definitely not known.
The Minister of Telecom and Mass Communications Nikolai Nikiforov expects identification of non-execution of the law on a personal data storage of Russians in Russia from other foreign companies after social network LinkedIn. RIA Novosti reports about it. "The law became effective, its observance in increasing frequency will be irrespectively checked the fact what the company is. It and the Russian companies can be, and foreign" — the agency cites words of the Minister of Telecom and Mass Communications.
Microsoft buys LinkedIn for $26 billion
On June 13, 2016 the American software maker of Microsoft announced purchase of LinkedIn for $26.2 billion.
The cost of the transaction which is going to be closed in 2016 will be $196 counting on one stock of LinkedIn that is 50% more in comparison with the quotations of business social network to closing of the exchange on June 10, 2016. At the same time securities of Microsoft in day of the declaration of acquisition of LinkedIn fell in price by 2.7%.
Microsoft will save independence and a brand of LinkedIn. The CEO of LinkedIn Jeff Weiner will remain on this post and will submit to the head of Microsoft Satya Nadella. The transaction was approved by Boards of Directors of both companies.
| ||The command of LinkedIn created the fantastic business concentrated on link establishment between professionals around the world — Satya Nadella says. — Together we will be able to accelerate growth of LinkedIn and also Microsoft Office 365 and Dynamics as we aim to expand possibilities of each person and each organization on the planet.|| |
As Jeff Veyner in the letter told the staff of LinkedIn, he decided to sell the company to increase the volume of business and to have an opportunity to invest in perspective projects, without thinking of how it will affect stocks of social network.
The experts polled by the Bloomberg agency say that the main objective which is pursued by Microsoft, buying LinkedIn, consists in strengthening of cloud business.
| ||I see desire to occupy others territory in this transaction. Cloud applicaions are that place where it is possible to earn, LinkedIn has several large cloud assets — the fund manager of Becker Capital Management Sid Parakh considers.|| |
Satya Nadella noted that the announced transaction will allow to integrate a professional cloud of Microsoft with professional social network LinkedIn. By 2018 financial year of sale of corporate cloud products of Microsoft will reach $20 billion, and LinkedIn will become a crucial element in achievement of this purpose, the head of Microsoft said.
As a result of consolidation of Microsoft and LinkedIn the business social network will be closely integrated with the products Microsoft Office that will help users of the last to communicate quickly. The news feed of LinkedIn for users of Office will become more personalized: data on the planned meetings which are on implementation phase projects, etc. will be displayed there.
The platform for electronic formation of LinkedIn Learning (it is created based on Lynda.com company which LinkedIn purchased in 2015 for $1.5 billion) will also work with Microsoft Office. Thanks to it the users wishing to learn to carry out difficult tasks will be able to sign up for training courses directly in the environment of Office and to get online access to the training information on work of this or that function.
Such interaction has a huge potential, considering that by June, 2016 LinkedIn and Office have 433 million and 1.2 billion users respectively.
The digital assistant to Microsoft Cortana will get access to professional contacts to LinkedIn and, for example, will announce what school was graduated by the person with whom the appointment is made.
According to analysts, Constellation Research, Microsoft needed information on human resources in labor market and now it has an opportunity to create any product focused on a business segment: from improvement of e-mail to products which will help to improve customer relations and to involve new professional employees.
In addition to Microsoft Office, LinkedIn services will be embedded in applications of enterprise resource planning and customer relationship management of Microsoft Dynamics. In particular, users of these products of Microsoft will be able to be connected to service LinkedIn Sales Navigator which helps sales specialists to build contacts.
In 2014 revenue of LinkedIn made $2.2 billion that is 45% more, than the previous year. Net loss reached $16 million.
In top-20 Internet giant by the Internet audience size
Audience of 277 million people a month
The net profit of social network LinkedIn in 2013 was 26.77 million dollars — 24% higher than an indicator of 2012. Counting on one action the profit of LinkedIn in a year was 0.23 dollars in comparison with 0.19 dollars in 2012. Annual revenues of social network increased by 57% to 1.528 billion dollars.
The audience of LinkedIn totals 277 million users who are monthly visiting the website, however rates of a gain decrease. About 41% of owners of accounts in LinkedIn use mobile services of social network.
2012: Growth of revenue by 86% to $972 million
Annual revenues of business social network LinkedIn in 2012 grew by 86% to $972.3 million in comparison with $522.2 million in 2011. Profit increased from $98.7 million up to $223 million, reported in the report of the company.
According to the results of the IV quarter 2012 revenue of LinkedIn increased by 81% in comparison year-on-year to $303.6 million, profit reached $11.5 million in comparison with $6.9 million the previous year.
Revenue from services in personnel recruitment in the IV quarter increased by 90% up to 161 million, from marketing services - for 68% up to 83.2 million, from paid accounts - for 79% up to 59.4 million.
LinkedIn exceeded forecasts as on quarter revenue, and arrived. And on revenue the company recorded more good result the seventh quarter to a row, Reuters notes. After the publication of the report during an expanded torvgovy session of a stock of the company grew up for 9% up to $135 apiece.
In the I quarter 2012 the company expected revenue in the range of $170-175 million and for the corrected indicator of EBITDA within $25-27 million. And according to the results of all 2012 - on revenue in the range of $840-860 million and the corrected indicator of EBITDA in the range of $155-165 million (in the IV quarter the corrected indicator of EBITDA was $34.4 million, according to the results of all year - $98.7 million).
Growth of revenue by 115% to $522 million
Revenue of LinkedIn at the end of 2011 made $522.2 million in comparison with $243.1 million in 2010 (growth - 115%). Profit reached $11.9 million in comparison with $15.4 million the previous year, having reduced by 23%.
Carrying out the IPO for $352 million
In January, 2011 LinkedIn focused on business clients sent the request for initial public offering (IPO) to the Federal U.S. Securities and Exchange Commission (SEC). It was expected that the IPO will bring to the company about $175 million: investors show interest in social networks, including to not in time to reach profitability level yet.
The source close to LinkedIn believes that it in anticipation of the IPO company will carry out an additional issue, but the volume of the transaction will be small. The raised funds will go for activation of the international expansion, he added. Banks will be underwriters of LinkedIn in the course of the IPO Morgan Stanley, Bank of America Merrill Lynch and JPMorgan Chase, Allen & Co also participate in the transaction and UBS.
"The number of our registered users are much higher than number of real active users, and the majority of web browsings is generated by minority of our users. Other companies, such as Facebook, Google, Microsoft and Twitter, can develop own competing with us solutions. Besides, we face the competition from a number of smaller companies in international market, such as Xing in Germany and Viadeo in France", - it was said in that section of the report where the company lists potential risks for investors (January, 2011).
For December, 2010 the market value of LinkedIn was estimated in secondary market of stocks of NYPPEX at $1.575 billion that by 13.4 times exceeds the indicator of EBITDA predicted for 2011. So to attract $175 million, the social network will need to place about 11%. But estimates of the companies in secondary market are usually underestimated.
In May, 2011 during the IPO LinkedIn placed on the exchange 7.8 million shares at the price in $45 for an action that considerably exceeds expectations of analysts. In total within primary public placement of the company it was succeeded to attract $352.8 million. Earlier it was supposed that shares of social network will be traded at the price in $32 - $35 for an action. Thus, assessment of the total cost of LinkedIn was raised to $4.5 billion that, according to financial experts, is to impressive indicators for the company, especially in view of that the profit of LinkedIn in 2010 was only $15 million at income in the amount of $243 million LinkedIn placed on the exchange of 4,827,804 shares. 3,012,196 more securities were offered for sale by shareholders of social network. Stocks of LinkedIn were submitted at the exchange under the character of LNKD.
From the moment of the creation in 2003 LinkedIn made two acquisitions, having purchased mSpoke startup for $560 thousand and ChoiceVendor service for $3.9 million.
2010: The first profitable year
In 2010 indicators of net income of social network grew by $123 million or 102% and made $243 million. Net profit grew by $19.4 million or 487% to $15.4 million. Actually, 2010 became the first profitable for the company.
The company gained 42% of income from payment of use of different tools for search of employees. Another 33% were brought by online advertizing, and 25% - sale of premium accounts to users.
- Income for the first nine months 2010 increased in comparison with the same period of 2009 twice and reached $161 million, profit for the same three quarters was $1.9 million However, it is expected that further growth rates of income will decrease, and in 2011 the company will not be profitable.
On financial performance of LinkedIn considerably concedes to the world's largest social network Facebook which revenues for the first three quarters 2010 were $1.2 billion.
- 41% of income or $65.9 million within the first nine months 2010 were arrival from solutions for search and hiring of employees on the website,
- 32% arrived thanks to online advertizing,
- 27% - from paid subscriptions to service.
At the same time, net profit from solutions for search of workers in a year grew by 178% or $42.2 million, representatives of social network say.
For December, 2010 the market value of LinkedIn was estimated in secondary market of stocks of NYPPEX at $1.575 billion that by 13.4 times exceeds the indicator of EBITDA predicted for 2011.
2009: A loss in the amount of $3.9 million
In 2009 net income of LinkedIn equaled $120 million 2009 of LinkedIn completed at a loss in the amount of $3.9 million.
- ↑ [http://www.rbc.ru/rbcfreenews/587e68469a794737d25cfad6?from=main of RBC Blyu Allen social network
- ↑ : and LinkedIn declared plans of return to Russia]
- ↑ It is explained on fingers: In Russia nearly two weeks it is blocked by LinkedIn. What there occurs?
- ↑ Roskomnadzor was going to achieve blocking of social network LinkedIn
- ↑ In Russia want to block LinkedIn. Who will suffer first of all?
- ↑ Microsoft’s Nadella Pays Up for LinkedIn to Speed Cloud Push
- ↑ Revenue of LinkedIn grew by 115%
- ↑ the Business social network LinkedIn gathered for the IPO