Microsoft Reportedly in Talks to Acquire Discord

While Microsoft already has Teams as its main videoconferencing platform, it has been reported that it is in talks with Discord to acquire the latter for $10 million. Just like Zoom, Discord has grown significantly during the pandemic, boasting 100 million active users and 13.5 million active servers per week as it is a platform that offers communication through voice, video, and text. While it is a free service, Discord also has a $9.99 Nitro service that adds additional features like bigger file uploads, more emoji options, and server boosts.

The reported acquisition talks have been confirmed by Bloomberg, with their sources saying that Discord is exploring options in a possible sale of the company. This also comes in light of Discord raising $140 million last December with a $7 billion valuation.

Should Microsoft be able to seal a deal with Discord, this will be a big move for the former in improving its connection with the gaming industry. Unlike Zoom and Microsoft Teams, Discord is the go-to platform for gamers and streamers who want to connect with their fans. While both companies declined to comment, there’s also a possibility that Discord might decide to go public instead of selling itself.

Microsoft Teams

As Bloomberg Intelligence Analyst Matthew Kanterman explains about the reported talks, “Microsoft possibly acquiring Discord makes a lot of sense as it continues to reshape its gaming business more toward software and services. 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.”

If talks with Microsoft don’t go as planned, or Discord is not planning to go public, VentureBeat notes that a possible buyer would most likely be a game company. While Twitter, Amazon, and Google are possible prospects, Bloomberg explains that Epic Games and Amazon did hold discussions with Discord in the past.

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