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Discord

Microsoft Considering Acquiring Discord

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Microsoft is reportedly in negotiations with Discord over a potential acquisition of the communications platforms.

Disclaimer – This information has not been verified, therefore this is not factual.

As reported by VentureBeat earlier this month, Discord was weighing the options for a $10 billion sale with multiple buyers expressing interest. It’s reported that Epic Games, Microsoft, Amazon, and other undisclosed companies are interested in closing a deal with Discord.

Discord was valued at around $7 billion USD in December 2020, but the growth of the software used for coordinating group activities has increased the valorization of the software and its brand, especially after the app is now used for business applications and host virtual parties.

COVID-19 outbreak has also boosted the appreciation of Discord, and Bloomberg expected that Microsoft could integrate Discord into the Xbox’s ecosystem, giving Microsoft’s service access to 140 million monthly users.

“Microsoft possibly acquiring Discord makes a lot of sense as it continues to reshape its gaming business more toward software and services,” said Bloomberg Intelligence Analyst Matthew Kanterman. “There’s a big opportunity to bundle Discord’s premium offering, Nitro, into the Game Pass service to drive more subscriptions from the last reported 18 million.”

“We expect Xbox to remain acquisitive to keep bolstering the value proposition of Game Pass and drive subscriptions higher,” Kanterman said.

Discord is a free voice, video, and text chat app that’s used by millions of users to talk and hang out with their communities and friends.

The uses of Discord include discussing and coordinating art projects and family trips to homework and mental health support. It’s a home for communities of any size, but it’s most widely used by small and active groups of people who talk regularly.

The vast majority of servers are private, invite-only spaces for groups of friends and communities to stay in touch and spend time together. There are also larger, more open communities, generally centered around specific topics such as popular games like Minecraft and Fortnite. All conversations are opt-in, so people have total control over who they interact with and what their experience on Discord is.

Source: Bloomberg

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