Discord Reportedly Abandons Microsoft Acquisition Talks

Discord app logo is seen displayed in this illustration taken March 29, 2021. REUTERS/Dado Ruvic/Illustration
Discord app logo is seen displayed in this illustration taken March 29, 2021. REUTERS/Dado Ruvic/Illustration
TT
20

Discord Reportedly Abandons Microsoft Acquisition Talks

Discord app logo is seen displayed in this illustration taken March 29, 2021. REUTERS/Dado Ruvic/Illustration
Discord app logo is seen displayed in this illustration taken March 29, 2021. REUTERS/Dado Ruvic/Illustration

Discussion platform Discord, popular among amateur video game players, has halted acquisition talks with Microsoft and is instead considering its options for a public offering, the Wall Street Journal reported Tuesday.

Media reported last month that the social platform, created in 2015, was engaged in discussions about a transaction with the technology giant that would have valued Discord at $10 billion.

Discord, which is based in San Francisco, allows its 140 million monthly users to exchange text, audio and video for free.

The platform, which is not yet profitable, generated about $130 million in revenue in 2020 from $45 million the year before as it grew beyond just "gamers" to other users as well during the pandemic, according to the Journal.

At least three different companies have expressed interest in acquiring Discord, the newspaper said, citing anonymous sources.

Picking up Discord would have allowed Microsoft to expand its social presence beyond LinkedIn, the professional network it acquired in 2016.

And Discord sees a large group of users among gamers using Xbox, Microsoft's video game brand that ranges from consoles to mobile games to streaming services.

But Discord may instead be looking toward a market debut, the Wall Street Journal said, following in the footsteps of other recent public offerings from the video game world such as collaborative gaming platform Roblox.



Justice at Stake as Generative AI Enters the Courtroom

Generative artificial intelligence has been used in the US legal system by judges performing research, lawyers filing appeals and parties involved in cases who wanted help expressing themselves in court. Jefferson Siegel / POOL/AFP
Generative artificial intelligence has been used in the US legal system by judges performing research, lawyers filing appeals and parties involved in cases who wanted help expressing themselves in court. Jefferson Siegel / POOL/AFP
TT
20

Justice at Stake as Generative AI Enters the Courtroom

Generative artificial intelligence has been used in the US legal system by judges performing research, lawyers filing appeals and parties involved in cases who wanted help expressing themselves in court. Jefferson Siegel / POOL/AFP
Generative artificial intelligence has been used in the US legal system by judges performing research, lawyers filing appeals and parties involved in cases who wanted help expressing themselves in court. Jefferson Siegel / POOL/AFP

Generative artificial intelligence (GenAI) is making its way into courts despite early stumbles, raising questions about how it will influence the legal system and justice itself.

Judges use the technology for research, lawyers utilize it for appeals and parties involved in cases have relied on GenAI to help express themselves in court.

"It's probably used more than people expect," said Daniel Linna, a professor at the Northwestern Pritzker School of Law, about GenAI in the US legal system.

"Judges don't necessarily raise their hand and talk about this to a whole room of judges, but I have people who come to me afterward and say they are experimenting with it”.

In one prominent instance, GenAI enabled murder victim Chris Pelkey to address an Arizona courtroom -- in the form of a video avatar -- at the sentencing of the man convicted of shooting him dead in 2021 during a clash between motorists.

"I believe in forgiveness," said a digital proxy of Pelkey created by his sister, Stacey Wales.

The judge voiced appreciation for the avatar, saying it seemed authentic.

"I knew it would be powerful," Wales told , "that that it would humanize Chris in the eyes of the judge."

The AI testimony, a first of its kind, ended the sentencing hearing at which Wales and other members of the slain man's family spoke about the impact of the loss.

Since the hearing, examples of GenAI being used in US legal cases have multiplied.

"It is a helpful tool and it is time-saving, as long as the accuracy is confirmed," said attorney Stephen Schwartz, who practices in the northeastern state of Maine.

"Overall, it's a positive development in jurisprudence."

Schwartz described using ChatGPT as well as GenAI legal assistants, such as LexisNexis Protege and CoCounsel from Thomson Reuters, for researching case law and other tasks.

"You can't completely rely on it," Schwartz cautioned, recommending that cases proffered by GenAI be read to ensure accuracy.

"We are all aware of a horror story where AI comes up with mixed-up case things."

The technology has been the culprit behind false legal citations, far-fetched case precedents, and flat-out fabrications.

In early May, a federal judge in Los Angeles imposed $31,100 in fines and damages on two law firms for an error-riddled petition drafted with the help of GenAI, blasting it as a "collective debacle."

The tech is also being relied on by some who skip lawyers and represent themselves in court, often causing legal errors.

And as GenAI makes it easier and cheaper to draft legal complaints, courts already overburdened by caseloads could see them climb higher, said Shay Cleary of the National Center for State Courts.

"Courts need to be prepared to handle that," Cleary said.

Transformation

Law professor Linna sees the potential for GenAI to be part of the solution though, giving more people the ability to seek justice in courts made more efficient.

"We have a huge number of people who don't have access to legal services," Linna said.

"These tools can be transformative; of course we need to be thoughtful about how we integrate them."

Federal judges in the US capitol have written decisions noting their use of ChatGPT in laying out their opinions.

"Judges need to be technologically up-to-date and trained in AI," Linna said.

GenAI assistants already have the potential to influence the outcome of cases the same way a human law clerk might, reasoned the professor.

Facts or case law pointed out by GenAI might sway a judge's decision, and could be different than what a legal clerk would have come up with.

But if GenAI lives up to its potential and excels at finding the best information for judges to consider, that could make for well-grounded rulings less likely to be overturned on appeal, according to Linna.