LinkedIn is facing a proposed class action lawsuit from its Premium customers, who reportedly claim that the business-focused social media disclosed their private messages to third parties for AI training without consent. Filed in federal court in San Jose, California, the lawsuit alleges that LinkedIn quietly introduced a privacy setting in August 2024 allowing users to control sharing of their personal data, according to a report by Reuters.
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Privacy Policy Update and AI Data Use
Customers said that LinkedIn then discreetly updated its privacy policy on September 18 to say that data could be used to train AI models. A "frequently asked questions" hyperlink also explained that opting out "does not affect training that has already taken place," the report said.
The update indicated that personal data could be used to train AI models, and opting out would not affect past data usage.
This attempt to "cover its tracks" suggests LinkedIn was fully aware it violated customers' privacy and its promise to use personal data only to support and improve its platform, in order to minimise public scrutiny and legal fallout, the complaint said, according to the report.
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LinkedIn's Response to the Lawsuit
The lawsuit seeks unspecified damages for breach of contract, unfair competition, and violations of the federal Stored Communications Act, with a potential USD 1,000 fine per person. LinkedIn, owned by Microsoft, denied the claims, calling them "false."
LinkedIn reportedly said in a statement: "These are false claims with no merit."
This legal action comes several hours after US President Donald Trump announced a joint venture involving Microsoft-backed OpenAI, Oracle, and SoftBank aimed at developing AI infrastructure in the United States.
