Looks like Microsoft is on a shopping spree. After acquiring ZeniMax Media, Microsoft plans on expanding its gaming territory with its target on Discord, a communication platform.
Back in December 2020, it was reported that Discord had over 140 million users, and was worth $7 billion. Discord has been popular for a while now, being the go-to place for most gamers to call, text, and stream their games for viewers to watch. The app has also attracted Youtubers and companies to set up channels to create a community platform for better engagement.
According to Bloomberg Intelligence Analyst, Matthew Kanterman, “Microsoft possibly acquiring Discord makes a lot of sense as it continues to reshape its gaming business more toward software and services,” “There’s a big opportunity to bundle Discord’s premium offering, Nitro, into the Game Pass service to drive more subscriptions from the last reported 18 million.”
That said, we know that Discord would be a great fit for the Microsoft team. With Xbox in the mix, Microsoft can use Discord technology to create a whole game communication system into their products to supplement the Microsoft ecosystem.
Most of the discussions are being kept under the covers. But what we do know is Discord had reached out to Microsoft and other buyers, but there has been no confirmed deal yet. It is reported that the sale is still in its infancy stages, so Discord could decide against the sale and go public instead.
If they do go public, who knows? Their stocks might blow up like Roblox’s.