Microsoft CEO hunts anew for creator hub after TikTok bid fails

Microsoft Corp is in talks to acquire Discord Inc, a video-game chat community, for more than US$10bil, according to sources. Seen in the context of Nadella’s philosophy about the next phase of cloud innovation, Microsoft’s talks with Discord and its other recent potential targets don’t seem out of band. — Bloomberg

Microsoft Corp’s latest takeover targets have baffled some analysts and investors who are well aware of the company’s spotty track record in consumer businesses and social media. What’s the appeal, they wonder, in digital properties such as TikTok, Pinterest Inc or now Discord Inc, a chat app that’s popular with gamers?

The answer in chief executive officer Satya Nadella’s mind is clear. “Creation, creation, creation – the next 10 years is going to be as much about creation as it is about consumption and about the community around it, so it’s not creating alone,” Nadella said in an interview last month. “If the last 10 years has been about consumption – we’re shopping more, we’re browsing more, we’re binge watching more – there is creation behind every one of those. But I see that phenomenon being much more democratised.”