Discord

Discord is a communication platform dedicated to the esports community. The platform facilitates communication using a mix of images, video (includes screen sharing), audio, text, and searchable threads, where each community has its server categorized into different channels. The platform also introduced a limited live streaming service and currently allows up to 50 viewers at a time. Discord's partners include esports teams such as Cloud9, Echo Fox, Team EnvyUs, and 100 Thieves to launch verified servers for each team. 

Discord announced it was launching a digital storefront similar to Valve’s Steam in August 2018. The storefront would provide subscription-based games for its paid customers, in addition to server boosts and other enhanced features. Discord announced in December 2018 that third-party publishers could use the store to sell their games. Its charge of 10% was extremely competitive, considering Steam’s 30% and Epic’s 12%. In June 2020, Discord announced its intentions to expand outside of gaming and add aspects of a business-to-consumer (B2C) messaging app for casual conversations. The platform had accumulated more than 250 million total users by May 2019,  and as of July 2021 Discord reported 150 million active monthly users. 

Discord acquired Blitz Esports to grow its digital storefront and subscription gaming service (the platform discontinued its gaming subscription business due to low demand) in November 2018. It also announced the acquisition of AI-based anti-harassment software company Sentropy for an undisclosed value in July 2021. The acquisition allows Discord to enhance its platform content moderation which was previously handled manually in-house. 

In September 2021, Discord raised USD 500 million in a funding round led by Dragoneer Investment Group with participation from Baillie Gifford and Coatue Management, among others. The round more than doubled its valuation to USD 15 billion from USD 7 billion in December 2020. Discord plans to use the new funds for product development and talent acquisition. In addition, it was announced that Sony was a minority backer of Discord’s recently concluded Series H funding round. Discord rolled out its integration with Sony’s PlayStation Network (PSN) in January 2022 as a result of Discord’s new partnership with Sony in May 2021. The integration is expected to allow cross-platform communication across PSN, mobile, and desktop users.

Reports surfaced that the company is exploring a sale for USD 10 billion in March 2021. However, in April 2021, The Wall Street Journal reported that deal discussions had effectively ended. Microsoft emerged as the frontrunner to buy the chat platform amidst reports that large companies in the gaming space, such as Amazon and Epic Games, were also in the mix. Had it entered into an agreement with Microsoft, it was likely to be bundled with Microsoft's products.