Spotify’s A class and B class shares differ in two key ways:

  • Voting rights: Class B shares have 10 votes per share, while Class A shares have one vote per share. This means that Class B shareholders have significantly more control over the company, even though they own a minority of the shares.
  • Conversion rights: Class B shares can be converted into Class A shares at any time, but Class A shares cannot be converted into Class B shares. This gives Class B shareholders the flexibility to convert their shares into Class A shares if they want more voting rights, but it prevents Class A shareholders from converting their shares into Class B shares to gain more control over the company.

Other than these two differences, Class A and Class B shares have the same rights and obligations. This means that they receive the same dividends and have the same right to participate in any liquidations or distributions.