Microsoft Corp in talks to acquire Discord for more than $10 billion

Microsoft’s Xbox business has also been expanding the suite of subscription perks it provides as part of its Game Pass offering
Microsoft Corp is in talks to acquire Discord Inc., a video-game chat community, for more than $10 billion, according to people familiar with the matter.

 

Discord has been talking to potential buyers and software giant Microsoft is in the running, but no deal is imminent, said the people, who asked not to be identified because the discussions are private. Discord is more likely to go public than sell itself, one person said. Representatives for Microsoft and Discord declined to comment. VentureBeat reported earlier on Monday that Discord was engaged in sales talks.

 

San Francisco-based Discord is best known for its free service that lets gamers communicate by video, voice and text, and people stuck at home during the pandemic have increasingly used its technology for study groups, dance classes, book clubs and other virtual gatherings. It has more than 100 million monthly active users and has been elaborating its communication tools to turn it into a “place to talk” rather than merely a gamer-centric chat platform.

 

Microsoft, which last year sought to buy social-media app TikTok and held talks to acquire Pinterest Inc., has been shopping for assets that would provide access to thriving communities of users, according to people familiar with the company’s thinking. Microsoft’s Xbox business has also been expanding the suite of subscription perks it provides as part of its Game Pass offering.



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