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Microsoft May Acquire Discord for More Than $10 Billion

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Popular online chat app Discord has reportedly ended talks with Microsoft for its $10 billion acquisition deal, The Wall Street Journal reported, as the company now aims to launch an initial public offering (IPO).

Reports surfaced last month that in a bid to enter the competitive social media market, Microsoft may acquire popular chat and communications platform Discord for more than $10 billion.

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“Those talks ended without a deal, though it is possible they could be rekindled in the future,” the WSJ report said on Tuesday, citing sources.

“Discord fielded interest from at least three companies about a deal, some of the people said”.

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Other past potential buyers were reportedly Amazon and Epic Games.

Discord raised $100 million in December last year at a $7 billion market valuation.

Popular among teenagers globally including in India, the chat and communications platform currently has 140 million monthly active users (MAUs) – double the number it had a year ago.

Discord connects game companies with their fans in audio and text chat communities.

Discord was publicly launched in May 2015 under the domain name discordapp.com.

Starting in June 2020, Discord announced it was shifting its focus away from video gaming to a more all-purpose communication and chat client for all functions, revealing its new slogan “Your place to talk” and a revised website.

Discord is in direct competition with invite-only chat app Clubhouse that has raised its market valuation to $4 billion.

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