Attorney General Bob Ferguson announced a collaboration with the U.S. Department of Justice and a bipartisan group of 29 other attorneys general in an antitrust lawsuit aimed at dismantling Live Nation and Ticketmaster’s monopoly over the live entertainment industry. The lawsuit, filed in the U.S. District Court for the Southern District of New York, claims that the companies have used their dominance to stifle competition and inflate ticket prices.
The lawsuit asserts that Live Nation and its subsidiary, Ticketmaster, violated the Sherman Antitrust Act by eliminating rivals and creating barriers for other companies, thus establishing an unlawful monopoly over the live entertainment sector. Live Nation merged with Ticketmaster in 2010.
According to internal documents from Ticketmaster, it controls 70% to 80% of primary concert tickets in North America. Live Nation owns or influences more than 250 venues across North America, including over 60 of the top 100 amphitheaters in the United States. It also has stakes in popular festivals such as Austin City Limits, Bonnaroo, and Lollapalooza. In Washington state alone, Live Nation manages several prominent venues including the Gorge Amphitheater.
Live Nation reported revenues exceeding $22 billion in 2023. The Justice Department and participating states are seeking to unwind the merger between Live Nation and Ticketmaster to restore competitive balance.
Washington state is asking for civil penalties, restitution for consumers, and disgorgement of any unlawful profits according to its antitrust laws. Specific remedies will be determined by the court.
“Free enterprise is built on companies competing,” Ferguson said. “Instead, these industry leaders squeezed out the competition to increase their profits at the expense of fans. My office is partnering with this bipartisan coalition to put an end to this monopoly.”
Assistant Attorneys General Rachel A. Lumen, Paula Pera, Travis Kennedy; Paralegals Kate Iiams and Kimberly Hitchcock; and Legal Assistants Debbie Chase will handle Washington's case.
Since merging in 2010, Ticketmaster and Live Nation have acquired numerous companies within the entertainment industry while neutralizing competitors through strategic acquisitions of promoters, amphitheaters, and festivals.
Live Nation has described smaller independent promoters as significant threats due to their potential to create events and open new venues. To counteract this threat, Live Nation pursued aggressive acquisition strategies even when deals were not economically beneficial in order to maintain control over artist guarantees and prevent competitors from raising prices.
Additionally, Live Nation secures long-term contracts with venues through Ticketmaster to exclude competitors. This practice ensures that event-goers face higher fees without benefiting from innovations or competitive pricing offered by rival companies.
An internal presentation from Ticketmaster highlighted that these long-term contracts act as a hedge against improvements by competitors because clients are locked into agreements for extended periods.
The lawsuit details incidents where Live Nation executives pressured venue owners who considered switching ticketing services. For instance, when one venue owner sought a rival ticketer offering better revenue retention terms, Live Nation threatened legal action and re-routed concerts away from that venue until it reverted back to using Ticketmaster exclusively.
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Washington’s Attorney General serves both state agencies and residents by enforcing consumer protection laws among other duties. Visit www.atg.wa.gov for more information.
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