Microsoft-Owned LinkedIn Fined $335 Million Over Data Processing Violations

The Irish Data Protection Commission fined LinkedIn for improperly processing personal data for digital advertising

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Oct 24, 2024
Summary
  • The investigation focused on the fairness and transparency of LinkedIn’s use of both first-party and third-party user data.
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Owned by Microsoft (MSFT, Financials), LinkedIn was fined €310 million, or $335 million, by the Irish Data Protection Commission for concerns over digital advertising in 2018. The investigation focused on the platform's handling of user data for targeted advertising and behavioral analysis.

According to the commission, LinkedIn neglected to treat users' personal information fairly and transparently. This covers information gathered from outside partners as well as straight user data.

"The lawfulness of processing is a fundamental aspect of data protection law and the processing of personal data without an appropriate legal basis is a clear and serious violation of a data subjects' fundamental right to data protection," said Deputy Commissioner Graham Doyle of the Irish Data Protection Commission.

LinkedIn responded that while it thought it followed the rules, it would change its advertising policies to satisfy the regulator's demands by the given date.

Based on its 10-K declaration, the punishment was less than Microsoft's projected—$425 million.

Regarding recent events, Microsoft is also aggressively seeking gaming supremacy with the forthcoming release of "Call of Duty: Black Ops 6," strengthening its influence in the gaming sector. Microsoft's Copilot AI is also being embraced by more and more businesses despite cost concerns restricting complete implementation.

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