125/264 Additionally, we compete to attract and retain advertisers and a share of their advertising spend for our Ad­Supported Service. We believe our ability to compete depends primarily on the reputation and strength of our brand as well as our reach and ability to deliver a strong return on investment to our advertisers, which is driven by the size of our Ad­Supported User database, our advertising products, our targeting, delivery and measurement capabilities, and other tools. We also compete to attract and retain highly talented individuals, including data scientists, engineers, product designers, and product managers. Our ability to attract and retain personnel is driven by compensation, culture, and the reputation and strength of our brand. We believe we provide competitive compensation packages and foster a team­oriented culture where each employee is encouraged to have a meaningful contribution to Spotify. We also believe the reputation and strength of our brand helps us attract individuals that are passionate about our Service. For information on competition­related risks, see “Risk Factors—Risks Related to Our Business—If our efforts to attract prospective Users and to retain existing Users are not successful, our growth prospects and revenue will be adversely affected,” “—We face and will continue to face competition for Ad­Supported Users, Premium Subscribers, and User listening time,” and “—Our business depends on a strong brand, and any failure to maintain, protect, and enhance our brand would hurt our ability to retain or expand our base of Ad­Supported Users, Premium Subscribers, and advertisers.” History and Development of the Company We are a Luxembourg public limited liability company ( société anonyme ), which means that shareholders’ liability is limited to their contributions to the company. The shares forming the share capital of a Luxembourg public limited liability company ( société anonyme ) may be publicly traded and registered on a stock exchange. Our legal name is “Spotify Technology S.A.” and our commercial name is “Spotify.” We were incorporated on December 27, 2006 as a Luxembourg private limited liability company ( société à responsabilité limitée ) and were transformed, on March 20, 2009, into a Luxembourg public limited liability company ( société anonyme ). The principal legislation under which we operate, and under which our ordinary share capital has been created, is the law of 10 August 1915 on commercial companies, as amended and the law of 19 December 2002 on the register of commerce and companies and the accounting and annual accounts of undertakings and the regulations, as amended, made thereunder. We are registered with the Luxembourg Trade and Companies’ Register under number B.123.052. Our registered office is located at 42­44, avenue de la Gare L­1610 Luxembourg, Grand Duchy of Luxembourg, and our principal operational office is located at Regeringsgatan 19, 111 53 Stockholm, Sweden. Our agent for U.S. federal securities law purposes is Horacio Gutierrez, General Counsel, 45 West 18th Street, 7th Floor, New York, New York 10011. Organizational Structure Spotify is a holding company that operates entirely through subsidiaries. The following table shows the significant subsidiaries (as defined in Rule 1­02 of Regulation S­X of the Securities Act) of the Company and the Company’s ownership percentage in each subsidiary as of December 31, 2017. Significant Subsidiary Country of Organization Proportion of Voting Rights and Shares Held (directly or indirectly) Spotify AB Sweden 100 % Spotify USA Inc. United States 100 % Spotify Ltd United Kingdom 100 % 118