Microsoft reserves $425M for LinkedIn GDPR penalty

Microsoft will reserve $425 million to pay a potential fine from the Irish Data Protection Commission (DPC) regarding alleged violations of the General Data Protection Regulation (GDPR) by its social media subsidiary, LinkedIn.

Microsoft, which made the disclosure Thursday on its investor relations page, said the Irish DPC began investigating a complaint against LinkedIn in 2018, alleging the platform’s targeted advertising practices violated the GDPR. The stringent European Union privacy law took effect that year.

In April, Microsoft said it received a preliminary draft decision from the Irish DPC that found LinkedIn’s targeted advertising practices violated the GDPR. Microsoft said it cooperated with the inquiry.