Last month we reported Microsoft was in talks with Chat startup, Discord Inc. to acquire the latter for a deal worth more than $10 Billion. But, as per a new report by WSJ, Discord has ended the talks with Microsoft and has decided to remain independent.
The chat platform has decided to build upon its platform and further monetize its userbase that has grown significantly during the pandemic. Discord Inc. also plans to go public and launch its IPO later. Although the sources claim that the plans for IPO are not imminent and the company will first try to monetize its userbase and gather more investors.
Microsoft and Discord did not immediately comment on the reports, so for the time being we are not 100% sure if the talks have ended or whether the deal has changed from acquisition to investment opportunity.
With over 300+ registered users and 140 million monthly active users, the business model of the company stands out in the social networking space. Discord also made more than $130 million in 2020, most of which comprises the Nitro premium subscriptions. At $9.99 monthly or $99.99 annually, for features such as animated emojis, enhanced video resolution, higher quality audio, and bigger uploads, the Nitro subscription model is extremely popular among its users.Â
In December last year, the company was valued at $7 billion after raising $100 million from investors Greenoaks Capital and Index Ventures in a private funding round.
Since the start of the pandemic, Microsoft has been on a buying spree and has acquired companies such as Zenimax Studios for $7.5 billion and Nuance Communications for $16 billion.Â
Recommended | ZywOo and Perkz named in Forbes 30 Under 30 Europe 2021
