According to Fast Company, Discord has confidentially filed paperwork with U.S. regulators for an initial public offering. The report, citing sources, notes the IPO market had started to regain momentum in 2025 after nearly three years of being sluggish. But that potential rebound has been seriously tempered by major headwinds including tariff-driven volatility, a prolonged government shutdown, and a significant late-year selloff in artificial intelligence stocks. Deliberations are reportedly still ongoing, meaning Discord could ultimately decide not to proceed with a listing at all. In response to Bloomberg, a Discord spokesperson gave the classic non-answer, stating the company’s focus remains on its users and building a sustainable business.
Discord’s Rocky Road to the Public Markets
Here’s the thing: Discord trying to go public feels like a story we’ve heard before, but the ending keeps changing. This is a company that was in serious talks to be acquired by Microsoft for a whopping $10 billion just a few years ago. That deal fell apart. Then there were rumored merger explorations with other companies. Those went nowhere. So now, after those failed exit attempts, the IPO path is basically the last major option on the table for its investors and early employees to see some liquidity. It’s a move born of necessity as much as ambition. The confidential filing lets them test the waters quietly, which is smart, but it doesn’t erase the fundamental questions.
Why This IPO Is Far From a Sure Bet
Look, the market timing seems… rough. The source article lays it out: tariffs, a government shutdown, and an AI stock correction. That’s a triple threat of uncertainty that makes investors jittery and can crush valuations for tech companies. Discord isn’t some nascent AI startup, but it’s absolutely a “growth” story, and those types of stocks get hammered first when volatility spikes. Can Discord convince Wall Street it’s a must-own, durable platform and not just a niche chat app for gamers that’s trying to pivot? It’s a tough sell. They need to prove their move into broader communities and their subscription efforts have created a financial engine that’s truly ready for the quarterly scrutiny of public markets.
The Ghost of Slack’s Spectacular Flop
And let’s not forget the cautionary tale sitting right there in the workplace comms space: Slack. Slack went public via a direct listing in 2019 to much fanfare, only to struggle with growth, get relentlessly pressured by Microsoft Teams, and eventually sell itself to Salesforce for a price that many saw as a disappointment compared to its early hype. Discord is different, sure. It’s rooted in social, not enterprise. But the parallel is the challenge of monetizing a passionate user base at scale while fending off deep-pocketed competitors. Microsoft, Google, and even Meta are all in this arena now. The spokesperson’s line about a “sustainable business” is the entire crux of the issue. They have to prove that sustainability in a way they’ve never had to before.
What Happens Next?
So what now? The confidential filing kicks off a behind-the-scenes dance with the SEC. We’ll likely see a quiet period, then eventually a public S-1 filing that will finally reveal the hard numbers everyone wants to see: revenue growth, profit (or, more likely, losses), user metrics, and risk factors. That document will tell the real story. Until then, this is all speculation wrapped in a standard corporate statement. I think the real drama won’t be the filing itself, but the valuation they ultimately try to land in a market that might not be as forgiving as it was back in 2021. It’s a huge bet, and the table looks shaky.
