Explainer-Why is Meta creating a new class of non-voting shares amid its AI growth?

By Anzar Mehraj and Prathik Jayaprakash Oct 22 (Reuters) Meta Platforms said on Wednesday that it is creating a new class of non-voting shares to fund its AI ambitions, pursue acquisitions and reward employees without weakening CEO Mark Zuckerberg s control. The move follows a structure used by some other founder-led companies, most notably Google s parent Alphabet. WHAT IS META DOING? Meta plans to create a new class of publicly traded non-voting stock, known as ​Class C shares, and distribute one Class C share for each existing Class A and Class B share — effectively splitting its stock two-for-one. The ‌new shares are expected to begin trading in January 2027. The company said in a filing that the Class C stock will be available for raising capital, compensating employees, acquisitions and other corporate purposes. Meta expects to offer new shares from time to time. WHY NOW? The investment required to compete in artificial intelligence is unprecedented, Meta said. It has foreca