The US government accuses the concert organizer Live Nation of unfair competition and wants to have it broken up. Above all, the Ministry of Justice wants Live Nation to separate from the Ticketmaster platform, through which tickets for various events are sold online.
The lawsuit alleges, among other things, that Live Nation uses anti-competitive practices to secure control of the industry in the USA and can thereby impose excessive fees on consumers. The company denied the allegations.
Not fair competition
Live Nation, together with Ticketmaster, is “ubiquitous” in the live event business and has built an “illegal monopoly,” said Attorney General Merrick Garland when announcing the lawsuit. The authority points out, among other things, that Live Nation controls numerous concert arenas and has also taken over the management of more than 400 musicians.
Live Nation is “stifling competition” through, among other things, threats and deals with potential rivals, Garland said. The government points out that fees are lower in other countries with more competition. In Germany, Ticketmaster competes with Eventim, among others.
In an initial reaction, Live Nation denied having a monopoly. The Ministry of Justice ignores the fact that higher costs and resellers, among other things, are responsible for the price increases for concert tickets. In addition, Ticketmaster only keeps a small portion of the additional fees. The group also pointed out that the merger with Ticketmaster was approved by US competition authorities in 2010 because they did not expect any negative consequences for the concert market.
