Can the Live Nation settlement with the Department of Justice really revive ticket competition?
Ticketmaster has faced ticketing and payments challenges for decades. Why isn’t competition coming back?
A New York jury has found that Live Nation and its subsidiary Ticketmaster maintain an illegal monopoly in the live events market in a recent lawsuit against the entertainment giant.
Jurors in Manhattan reached the verdict on Wednesday, April 15, after a lengthy trial that began on March 2 and included testimony from dozens of witnesses, including prominent figures in the live entertainment industry.
“This is a landmark victory in our continued efforts to protect the economy and New Yorkers’ wallets from harmful monopolies,” New York Attorney General Letitia James said in an April 15 statement.
“For too long, Live Nation and Ticketmaster have taken advantage of fans and artists by jacking up ticket prices and stifling any competition that threatens their power,” she said. “The jury found that what we have known for years is true: Live Nation and Ticketmaster are breaking the law and costing consumers millions of dollars in the process.”
The lawsuit was filed in 2024 by the Department of Justice and 39 states and the District of Columbia. Officials accused the company of “anticompetitive conduct,” including retaliating against competitors, restricting artists’ access to venues, and using long-term contracts to block competing ticket sellers and drive up prices.
Live Nation denies any wrongdoing. When the lawsuit was first filed, the company issued a statement saying that the majority of ticket prices go to venues and that competition was eroding Ticketmaster’s market share.
“The Justice Department’s lawsuit does not resolve the concerns our fans have about ticket prices, service fees, and access to popular programming,” the statement said.
USA TODAY has reached out to Live Nation for comment.
Live Nation, Ticketmaster under new scrutiny pressure
Live Nation/Ticketmaster is not immune to criticism and lawsuits. Ticket sales for Taylor Swift’s Ellas Tour have come under new scrutiny in 2022 after extensive delays and online queuing errors occurred.
The company is an industry powerhouse, said to have generated $25 billion in sales and $500 million in profits last year, controlling about 70% to 80% of ticket sales for major concerts and live events, and owning a significant share of venues and concert promotions, USA TODAY reported.
The company was accused of forcing performers at the venues it owned to use in-house promotional services, effectively giving it control over marketing and ticket sales for the entire industry.
The Justice Department and several state attorneys general earlier reached a settlement with ticketing companies on March 10, agreeing to a deal that includes the sale of 13 of the nation’s largest amphitheaters. USA TODAY previously reported that the agreement would place a 15% cap on service fees for people who want to use the venue.
More than 30 states, including New York, rejected the settlement and chose to go to trial.
California Attorney General Rob Bonta said in a statement that Wednesday’s ruling found Live Nation and Ticketmaster liable for harm to the entire music industry.
“This is a historic and huge victory for artists, fans and the venues that support them,” he said. The statement further explained that a judge will now decide how much the company should pay in damages and consumer compensation.
The company recently drew some flak after court filings revealed messages in which a ticketing employee called customers “so stupid” and discussed “stealing customers.”
Contributors: Taijuan Moorman, Aysha Bagchi, Bart Jansen, Melina Khan, USA TODAY; Reuters
