Discord Might Be Sold to This Tech Giant for Over $10 Billion

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Discord is a heavily used application by online gamers. It helps them stream live games, chat and coordinate with other gamers in real-time.

According to a Bloomberg report, Discord might be sold to a tech giant for over $10 billion. The tech giant in question is none other than Microsoft that invests heavily in new technologies and applications.

Microsoft and Discord are currently in the negotiation stages. If the deal strikes through, Microsoft may buy discord for over $10 billion.

Discord’s Rising Popularity

Discord has over 250 million registered users to date. The application was initially built for gamers. It is now used for different purposes and by people in different fields such as YouTube, podcasts, and more.

Since the time pandemic arrived, demand for online gaming and gaming related applications/platforms grew multiple folds. This is one of the reasons for the rapid growth of Discord in the last year.

As per a report from NPD, a research group, spendings on video games by gamers increased to a record $11.2 billion during the third quarter of 2020.

If the deal goes through, it should be a good purchase for Microsoft, given the future of online/video gaming. The gaming industry has barely scratched the surface of its true potential.

It will also be a good thing for the future of Discord since the platform/application will be able to get a great deal of resources from a tech giant such as Microsoft.

Nothing’s confirmed as of now since the companies are still in the negotiating stages. Mega corporates such as Amazon and Epic Games are a few of the companies that have talked with Discord regarding buying the platform.

Discord made over $130 million last year in revenues. During the last funding round in December, the company was valued at $7 billion. It is worth noting that the company still isn’t profitable, meaning it needs the cash inflow, and thus the deal with Microsoft might go through.

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Tanay is someone with whom you can chill and talk about technology and life. A fitness enthusiast and cricketer, he loves to read and write.

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