According to sources cited by The New York Times, the popular chat platform Discord is reportedly exploring an initial public offering (IPO). Recent weeks have seen Discord leadership engaging with investment bankers to lay the groundwork for an IPO, which could potentially launch as early as this year. Discord was last valued at around $15 billion in 2021.
In response to these reports, a Discord spokesperson told The New York Times, "We understand there is a lot of interest around Discord’s future plans, but we do not comment on rumors or speculation. Our focus remains on delivering the best possible experience for our users and building a strong, sustainable business."
Discord has seen a significant increase in popularity, particularly within the gaming community, due to its user-friendly features tailored for gamers and its effective moderation and community management tools. The platform's integration into PlayStation 5 and Xbox Series consoles has made it a go-to voice chat option for gamers, and recent additions include streaming capabilities. Discord remains free to use, although it offers various premium features through monetization.
However, the prospect of an IPO has raised concerns among users about the potential impact on Discord's functionality in the long term. On the r/Discordapp subreddit, the most up-voted comment reflects these worries, stating, "Whelp! It's been fun, but anytime someone decides they want to 'make a public offering' then the company *everything* goes to shit. What's the next communications platform promising to not sell out, like all the others?" Similarly, a post on r/technology laments, "Rip Discord, brought into the cycle of infinite growth at any cost."
The news of an impending IPO isn't entirely surprising, as Discord has been rumored to consider this route for some time. In 2021, it was reported that Discord was in discussions with at least three companies, including Microsoft, about a possible acquisition. However, the following month, it was revealed that Discord had opted to remain independent and pursue an IPO instead.
