politics
US jury finds Live Nation and Ticketmaster subsidiary operated monopoly
Verdict in states’ lawsuit says concert giant stifled competition, raising pressure for changes to ticketing market
TL;DR
- A Manhattan federal jury found Live Nation and Ticketmaster guilty of operating a monopoly.
- The lawsuit was brought by dozens of US states, accusing Live Nation of stifling competition.
- Live Nation owns, operates, or controls booking for hundreds of venues and Ticketmaster is the world's largest ticket-seller for live events.
- The company was accused of blocking and retaliating against venues that used multiple ticket sellers.
- An attorney for the states called Live Nation a "monopolistic bully" that drove up prices, with the jury finding Ticketmaster overcharged buyers by $1.72 per ticket.
- Live Nation defended itself, stating artists, sports teams, and venues set prices and that its size is a result of excellence.
- Ticketmaster, established in 1976, merged with Live Nation in 2010 and reportedly controls a significant majority of the concert and overall live event ticketing markets.
- The current lawsuit followed a previous anti-monopoly complaint filed by Pearl Jam in the 1990s.
- The US federal government, joined by states, brought the current lawsuit during the Biden administration, though Donald Trump's administration settled its claims separately.
- A settlement required Live Nation to create a fund for participating states and included some new ticket-selling options but did not force Live Nation to split from Ticketmaster.
- Over 30 states continued with the trial, feeling the federal government's settlement did not go far enough.
- Live Nation CEO Michael Rapino testified regarding the company's handling of Taylor Swift ticket sales in 2022, which he attributed to a cyberattack.
- Internal messages from a Live Nation executive were revealed, discussing "outrageous" prices and customers being "so stupid."
- The Federal Trade Commission previously required Ticketmaster to disclose concert ticket fees upfront, but investigations suggest the company adjusted other fees to compensate.
- Senators have criticized Ticketmaster for alleged bait-and-switch practices and market manipulation.