Microsoft Shares Grew Thanks to News about Buying Discord
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There's going to be a true bargain, my friends. The key parties are the tech giant Microsoft, the company owning the popular Discord messenger, and — read my lips — 10 billion USD. Let's dig into the details right here and now.
Will Microsoft buy Discord?
According to Bloomberg, on March 22nd, Microsoft was heard having talks with Discord on the issue of buying the messenger. There's no exact information though about the stage of the talks and whether they're likely to be a success.
However, the medium claims that its sources name 10 billion USD as the price of the purchase. Whether Discord will be interested is the next question.
Microsoft shares demonstrating growth
On March 22nd, at the closing of the trading session in NASDAQ, Microsoft (NASDAQ: MSFT) shares grew by almost 2.5% from 230.35 to 235.99 USD. The growth put an end to the decline of the shares that had been carrying on for three days.
On March 23td, the trend remained positive: the shares grew by 0.67% more to 237.58 USD. This month, the shares of the IT giant have grown by 2.2% only, this year — by 6.8%.
What does Microsoft need Discord for?
According to the informational platform about technology and innovations VentureBeat, this messenger is extremely popular among gamers. If the parties contract, Microsoft will be able to extend its game business and improve its positions in the segment.
Analysts say that the main goal of Microsoft is to attract millions of users to its products via Discord. Note that the number of acyive users of the messenger is over 10 million people.
Mind that this isn't the first attempt of the tech company to restructurize and optimize its game business. Earlier it bought a large videogame maker Bethesda Softworks and improved the Game Pass subscription conditions for Xbox.
Will Discord agree?
According to the Wall Street Journal, in 2020,when the pandemic bursted, the company extended the number of its users by 100% and rose its revenue to 130 million USD. Which is, by the way, almost three times as much as in 2019. The last round of investments brought Discord 100 million USD, and its price was evaluated as 7 billion USD.
Many analysts thought that the fact that Tomasz Marcinkowski, the first financial director, returned to the company, meant that Discord would at last become public. An IPO of a yet losing but very promising entity seems absolutely logical.
However, according to the already-mentioned VentureBeat, the company is quite supporting the idea to become a part of a larger and stable structure. Moreover, Microsoft is not the only conglomerate to make such an offer. Unfortunately, the resource doesn't name other companies.
Summing up
The news that the first version of Windows 10 1909 will not be supported anymore drove the quotations of Microsoft shares down. However, Bloomberg, VentureBeat, and the Wall Street Journal made it known that this is not all the information from the office of the IT giant.
The tech corp is talking with Discord on the issue of buying its messenger of the same name. The alleged price of the trade is 10 billion USD. The rumors made the shares grow a bit — by 3.14% to 237.58 USD.
Experta note that buying a messenger so popular among gamers will be a good influence for the company's game business. They are mostly counting on vivid growth of Game Pass for Xbox subscribers.
