According to recent reports from The New York Times, Discord, the popular messaging platform boasting more than 200 million monthly users, has initiated preliminary discussions regarding a potential IPO. This means that Discord will start offering its shares to the public.
Sources indicate these conversations with investment bankers remain in early phases, with plans subject to change.
When contacted by TechCrunch, a Discord representative acknowledged awareness of public curiosity about the company’s intentions but maintained a policy against commenting on speculation or rumors.
This exploration of public markets isn’t Discord’s first time doing so. The San Francisco-headquartered company previously declined a $10 billion acquisition offer from Microsoft in 2021, preferring to remain independent while also going for a public listing.
In 2021, Discord secured $500 million in funding, placing its valuation at $14.7 billion. While well-known within gaming and cryptocurrency circles, Discord has also become a surprising hub for the surge in generative AI. Notably, major image-generation names, such as Midjourney, use the platform’s servers to operate.
Additionally, many workspaces have also moved their operations away from Slack to Discord in favor of its free features. While Slack is more productivity-focused, it has more features behind a paywall compared to Discord, which was primarily made for gamers.
On the other hand, Discord has also been dealing with challenges regarding security. Reports have shown that the platform has been a target for increased malicious activity, including malware distribution and credential theft. However, Discord has also been taking steps to increase security, such as rolling out end-to-end encryption for audio and video calls and security key support for all users.
