Microsoft Reportedly in Talks to Acquire Discord for More Than $10 Billion
Microsoft is reportedly involved in discussions with the popular gaming chat app Discord regarding an acquisition that could total more than $10 billion.
Early yesterday afternoon, VentureBeat reported that Discord was considering a sale of over $10 billion following expressed interest from a number of potential buyers. Later that day, Bloomberg followed up with a report that Microsoft has expressed interest in a potential deal. It was said that Xbox head Phil Spencer sat down with Discord after the company reached out to Microsoft in order to gauge interest.
Bloomberg‘s sources have stated that Amazon and Epic Games were also in the running. However, even though Microsoft and other interested parties have held conversations with Discord, a deal is likely to not be imminent. One source, in particular, told Bloomberg that it is more likely that Discord takes itself public rather than settle for an acquisition.
In 2020, Discord found itself with roughly 140 million active users. The company reportedly gained $130 million in revenue. Although these figures can be seen as successful, Discord has yet to become profitable, according to The Wall Street Journal. In December, Discord went through another round of funding to generate $100 million, where the company was valued at $7 billion.
On March 18th, Discord announced that ex-Head of Finance for Pinterest, Tomasz Marcinkowski, has joined the company as Chief Financial Officer.