Shortly after reports that Discord was investigating a sale, a new report says that Microsoft has emerged as a front-runner in the discussions.
Microsoft is a natural candidate for a purchase of Discord, given the company’s focus on gaming. In addition to its Xbox platform, Microsoft recently bought ZeniMax Media, and its gaming studio Bethesda Softworks, in an effort to bring more game development in-house.
As Bloomberg highlights, Microsoft has been shopping for companies that could help it establish, grow and interact with a community of users. The company recently tried to purchase TikTok and was in talks to acquire Pinterest. Services such as this are seen as especially valuable as a result of the pandemic, as virtual communities can help address people’s need for social interaction in a safe way.
“Microsoft possibly acquiring Discord makes a lot of sense as it continues to reshape its gaming business more toward software and services,” said Bloomberg Intelligence Analyst Matthew Kanterman. “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.”
The report indicates the sale could be north of $10 billion, but nothing is final.