In a time of uncertainty for social networks’ steady revenue, LinkedIn is undergoing an executive shake-up with Chief Executive Dan Nye stepping down. Company founder Reid Hoffman will eventually be taking the company in the direction he sees as the best for LinkedIn, with former Yahoo executive Jeff Weiner acting as interim president for LinkedIn’s day-to-day operations, reports the L.A. Times.
It’s uncertain how long Weiner will be at LinkedIn as the interim president, but Nye will remain with LinkedIn until January to ease the transition. Weiner will also remain in his current position as an executive in residence at Accel Partners and Greylock Partners, the latter of which is a LinkedIn investor.
As Weiner will be reporting to Hoffman, the question remains whether or not he is being considered for a permanent placement with LinkedIn. Since Weiner was reportedly mentioned to replace Jerry Yang as CEO at Yahoo, there is a seemingly good chance that Weiner would in fact be considered for permanent placement at LinkedIn.
The reasons for Nye’s departure, however, remain unknown. Having been with LinkedIn for the past two years, he has helped LinkedIn grow significantly. While many other social networks rely on advertising for a source of revenue, LinkedIn’s professional networking capabilities offered a service that millions of its users are willing to pay for. So even as social networks like Facebook modify their advertising options and bring in new positions to handle risk management (directly tied to advertising revenue), LinkedIn has been moving from a premium service-based network to one that supports a user-driven market place in order to leverage its size and platform.
Not to mention, my own LinkedIn connections have skyrocketed in the past few weeks with people seeking job opportunities and referrals. No word on whether or not Hoffman has any drastic changes that would shift from Nye’s implemented features, but it doesn’t look as though much needs to be changed at LinkedIn.