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Microsoft Reportedly in Talks to Acquire Game Chat Service Discord

It could cost the tech giant over $10 billion


Microsoft is in talks to purchase chat communication service Discord. The chat communication service, popular with gamers, could cost the tech giant more than $10 billion, a Bloomberg report says.

The report follows an earlier one from VentureBeat, suggesting the company was considering a sale. The communications and chat platform is in talks with several potential buyers for sale.

According to the recent report, the deal is yet to be closed. Besides, there’s no indication on whether it will lead to a sale. After all, another source cited suggests that Discord is more likely to go public than sell.

The pandemic’s onset has been a primary factor for the accelerated growth of tech companies that help people stay in touch. Discord has been one of those benefiting from the restricted movements in various p[ats of the world.

Discord has more than 140 million monthly active users, despite being considered in its growth face. While its financials are not spectacular, Discord generated $130 million in revenue, up from nearly three folds in 2019. It raised $140 million in December, with a $7 billion valuation.

Microsoft’s interest in Discord is not out of the blue, considering its continued investment in the video game market. It has recently invested in its game subscription service Game Pass.

In January, the American tech company acquired ZeniMax Media, parent company to Bethesda Softworks, the maker of popular AA games Doom and Fallout.

The company now has 23 first-party titles on its sleeve.

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Alvin Wanjala

Alvin is a freelance tech journalist. Talk to me via email at alvinwanjala[at]pm[dot]me

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