Bloomberg: Microsoft is in talks to acquire Discord Inc for more than $ 10 billion
Service for video and voice chats Discord is in talks with potential buyers, including Microsoft, writes Bloomberg reports. According to a source, Discord will not sell the business and may go public.
Previously, the company also discussed a deal with Epic Games and Amazon, the newspaper notes. Selling isn't the only option the company is considering. According to one source, Discord would go public rather than sell the business.
Discord has about 140 million monthly users and revenues in 2020 were $ 130 million, although the company is not yet profitable. The company was last valued at $ 7 billion in November.
Discord is free, but the company makes money from Nitro subscriptions - $ 9.99 per month per user. They offer more advanced features like higher resolution screen sharing, additional sticker packs, and higher download limits.
Initially, Discord was created as a messenger for gamers, but against the backdrop of the pandemic, the service's audience has grown: book clubs, study groups and other meetings are held in it. In June, co-founder Jason Citron said the service was already more like a tool for daily communication.
According to sources close to Microsoft, the company is trying to build assets that will provide it with access to large user communities: in 2020 it wanted to buy TikTok and was in talks to acquire Pinterest.
The service is also interesting to Microsoft due to its active community of gamers. If Microsoft buys Discord, it can combine Nitro with its own Xbox Game Pass subscription to boost subscriptions to 18 million, according to Bloomberg Intelligence analyst Matthew Canterman.