While an IPO has many advantages for the company, it can be risky for founders and insiders because they may lose control of the company over time. One method for founders to retain voting power in the company is to divide their shares into different classes.

There is only a minor difference in the price of Alphabet Class A and Class C shares.

Shouldn't shares with voting rights be more expensive for investors? In the case of Alphabet, founders Page and Brin control more than half of the company's voting rights and easily outvote investors.

Alphabet Inc. uses multiple share classes to give public investors access to the company while keeping control in the hands of its founders and key insiders. This setup was designed so leaders like Larry Page and Sergey Brin could continue guiding the company’s long-term direction without losing influence over major decisions.

The company mainly has Class A, Class B, and Class C shares. Class A shares include voting rights for investors, while Class C shares do not carry voting power. Class B shares are mostly held by insiders and provide significantly stronger voting rights compared to the other classes. Because of this system, the founders can maintain control even if they own a smaller percentage of the company’s total shares.

This share structure is popular among large technology firms that want stability in leadership. Supporters believe it encourages innovation and long-term planning, while critics argue that ordinary shareholders should have greater influence in company decisions.