Discord, the popular chat 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, pegged its worth at approximately $15 billion.
While a Discord spokesperson declined to comment on speculation regarding future plans, emphasizing their focus on user experience and business sustainability, the news has sparked considerable discussion online. Discord's rise to prominence is largely attributed to its gamer-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 various monetized features, has contributed significantly to its success.
However, the IPO announcement has also generated concerns among users. Reddit threads on r/Discordapp and r/technology express apprehension that an IPO could negatively impact Discord's functionality and overall user experience, mirroring anxieties about the potential consequences of prioritizing growth over user satisfaction. Comments reflect a fear that the platform might succumb to the pressures inherent in publicly traded companies, compromising the very qualities that have made it so popular.
This IPO consideration isn't entirely unexpected. In 2021, reports surfaced of Discord's discussions with potential acquirers, including Microsoft. However, the company ultimately opted to pursue independence and explore an IPO instead.
