It went about how I feared it would. It's a fantastically fun character, that alone makes it fun to watch. But it's such a "big" character (not size, but personality) that it felt rushed being only a single episode. The resolution would have been easier to swallow had there been more time, perhaps a few false starts towards Discord showing some emotions towards Fluttershy, instead of an Anakin-like turn towards the light side.
That said, it's still a childrens' show. The lesson is that people can be reformed (mostly...) and that's a lesson worth teaching children.
And of course it could just be a piece on the chess board leading up to the big finale we're hearing about... it will make the episode go down easier in future rewatches if it's part of a bigger story arc.