Microsoft Corp. and video game chat company Discord Inc. ended the takeover talks after Discord rejected a $ 12 billion offer, according to people familiar with the case.
Discord is now targeting a possible long-term public listing, the people said, asking not to be identified because the matter is private.
Several other companies have also tried to buy Discord in recent weeks, the people said. The identity of these companies could not immediately be traced.
Discord and Microsoft representatives declined to comment.
Place to talk
San Francisco-based Discord is best known for its free service that allows gamers to communicate via video, voice and text. People trapped at home during the pandemic have increasingly used the technology for study groups, dance classes, book clubs and other virtual gatherings.
It has expanded its means of communication to become one Place to talk instead of just a gamer-focused chat platform.
Bloomberg News previously reported that the companies were in talks about a deal, but that was Discord more likely to do an IPO. Discord has also had discussions with Epic Games Inc. in the past. and Amazon.com Inc., say people familiar with the case.
The Wall Street Journal had previously reported the end of the sales talks.
Microsoft remains busy with the deals. Earlier this month it was said the speech recognition pioneer Nuance Communications Inc. would buy in an all-cash deal worth $ 19.6 billion.
Last year, it tried to buy the social media app TikTok and held talks to bring Pinterest Inc. as it was looking for resources that would provide access to thriving user communities, say people familiar with the issue. Microsoft’s Xbox business has also expanded the range of subscription benefits it offers as part of the Game Pass offering.
(Updates with new information on bids from the first paragraph)