Discord Is Reportedly Exploring an IPO

Discord, the popular communication platform beloved by gamers and beyond, is reportedly eyeing an initial public offering (IPO), according to sources cited by The New York Times. Recent meetings between Discord leadership and investment bankers suggest preparations are underway for a potential IPO as early as this year. Discord's last valuation, in 2021, placed its worth at approximately $15 billion.

While a Discord spokesperson declined to comment on speculation regarding future plans, emphasizing their commitment to user experience and business sustainability, the news has sparked considerable discussion online. Discord's widespread popularity, particularly within the gaming community, is attributed to its user-friendly features, robust moderation tools, and seamless integration with consoles like PlayStation 5 and Xbox Series X|S, offering convenient voice and streaming capabilities. The platform's free-to-use model, complemented by optional paid features, has further contributed to its success.

However, concerns have emerged among users regarding the potential negative impact of an IPO on Discord's functionality. Reddit threads on r/Discordapp and r/technology reflect anxieties about the consequences of prioritizing growth over user experience, echoing common sentiments about the potential downsides of publicly traded companies. One highly upvoted comment on r/Discordapp expressed apprehension about the platform's future, fearing a decline in quality following the IPO.

This IPO news isn't entirely unexpected. In 2021, reports surfaced of Discord's discussions with potential acquirers, including Microsoft. However, the company ultimately opted to pursue an independent path, focusing instead on an IPO.