According to sources who spoke with Bloomberg, Microsoft is in talks with Discord to acquire the chat software for more than $ 10 billion. Xbox chief Phil Spencer is reportedly talking to Discord about the possible deal.
VentureBeat reported earlier today that Discord is investigating a sale of more than $ 10 billion after several potential buyers showed interest, and that it has signed an exclusive acquisition deal with one party, indicating that an agreement could be reached. However, according to Bloomberg’s sources, the deal is not at hand, with one person saying that Discord is more likely to make itself public than to make an acquisition.
Bloomberg cites Epic Games and Amazon as companies that have also had discussions with Discord in the past.
Discord has about 140 million monthly users and last year earned $ 130 million in revenue, The Wall Street Journal recently reported, although the company is not yet profitable. Its last valuation was $ 7 billion after a round of financing in December generated $ 100 million.
Discord’s software is free for most users, but the company makes money through $ 9.99 monthly Nitro subscriptions that offer more advanced features such as higher resolution screen sharing, extra sticker packs, and larger charging limits.