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LinkedIn Takes a Page out of Facebook's Playbook

By Evan Niu, CFA and Erin Kennedy – Feb 22, 2014 at 1:00PM

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LinkedIn makes a big move into content, in part to boost engagement. However, the professional network relies on engagement much less than its peers.

Professional social networking site LinkedIn (LNKD.DL) announced earlier this week that it would be opening up its publishing platform to all members, not just certain select "Influencers" like it has previously. Is this an effort by the company to resemble more closely the current giant among social networks, Facebook (META -0.86%)? Motley Fool tech and telecom analyst Evan Niu thinks so. He sees the move as a way for LinkedIn to drive ad revenue and revenue for its Marketing Solutions segment, as well as to build out more overall platform engagement among users for LinkedIn.

This could come at a good time, since LinkedIn's engagement may actually be slipping. Evan also discusses in the video why engagement may hold a different meaning for LinkedIn than it does for Facebook or Twitter (TWTR), which rely on ads for their revenue. Evan gives investors the real metrics to watch with LinkedIn in terms of engagement, and discusses why Facebook may be giving LinkedIn cause for concern.

Erin Kennedy has no position in any stocks mentioned. Evan Niu, CFA owns shares of LinkedIn. The Motley Fool recommends Facebook, LinkedIn, and Twitter. The Motley Fool owns shares of Facebook and LinkedIn. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Stocks Mentioned

LinkedIn Corporation Stock Quote
LinkedIn Corporation
LNKD.DL
Meta Platforms Stock Quote
Meta Platforms
META
$122.43 (-0.86%) $-1.06
Twitter Stock Quote
Twitter
TWTR

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