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I’m not sure I understand the value of reporting this to Microsoft? Wouldn’t it be better to submit an online tip to law enforcement? Is Microsoft doing law enforcement activity now?

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LinkedIn is a Microsoft product, so they would have the ability and interest in understanding what broke here.

What broke is probably their internal trust..

It's the "probably" that they want to investigate and try to get to a "almost certainly"

As huhwat said - LinkedIn is part of Microsoft now. As such it is within the auspices of the MSRC

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