Live Nation to open Ticketmaster to other sellers and pay $280 million to settle antitrust charges
Live Nation, Ticketmaster’s parent company, has reached an agreement with the Department of Justice (DOJ) to settle charges that the entertainment company’s dominance in the event ticket industry undermined competition and harmed consumers.
Under the terms of the settlement, Live Nation agreed to pay $280 million in civil penalties to the 40 states that sued the company over its practices and to sell some of its theaters. Ticketmaster also needs to open up the technology to allow other ticket sellers to use its platform to reach customers, multiple sources told CBS News.
Live Nation did not immediately respond to a request for comment. The company, which has long clashed with music artists and consumers over ticket sales, argued that artists set prices and dictate how tickets are sold.
The ruling comes less than a week after Live Nation’s antitrust trial began in a New York courtroom.
“We are very excited about this deal because it essentially opens up markets to other competitors, which will allow competition that did not previously exist in the primary ticketing space and in the live entertainment sector,” a senior Justice Department official said at a press briefing Monday, adding that this change “will have a direct impact on lowering prices.”
After the Justice Department announced the deal Monday in Manhattan federal court, Judge Arun Subramanian called it “totally unacceptable,” saying no one informed him of the tentative agreement until Sunday evening.
States pledge to continue fighting
Not all states involved in the lawsuit have agreed to the agreement reached between the Justice Department and Live Nation. New York Attorney General Letitia James vowed to pursue prosecution Monday, noting in a statement that the settlement “fails to resolve the monopoly problem at the center of this case.”
James said attorneys general from more than two dozen states are considering moving forward with the lawsuit in an effort to “restore fair competition to the live entertainment industry.”
These states include Arizona, Colorado, Connecticut, Illinois, Kansas, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, Tennessee, Utah, Vermont, Virginia, Washington, Wisconsin, Wyoming, and the District of Columbia.
A senior Justice Department official defended the Live Nation deal on a call with reporters, adding that the agency expects more states to support the settlement.
“This is a process that is still ongoing,” the official said, adding that the DOJ is still actively working to address potential concerns from the state.
What does the regulation include?
Under the DOJ agreement, Ticketmaster will be required to divest 13 theaters, and potentially more, if other states approve the settlement, the Justice Department official said. The agreement also imposes a service charge cap of 15% for lecture halls.
Ticketmaster will be required to allow third parties to use its technology system to offer tickets.
“We now have a 50-50 split on exclusivity where venues and artists can be exclusive with Live Nation up to 50% – but 50% of those tickets must be reserved or allowed for others who are not in an exclusive agreement with Live Nation to use,” the official added.
Ticketmaster will also be required to offer venues the opportunity to enter into a non-exclusive agreement and will be prohibited from retaliating against any company that chooses a primary ticketer other than Ticketmaster.
Lawsuit filed under the Biden administration
Federal prosecutors, along with dozens of states, sued Live Nation and Ticketmaster in 2024 after alleging the company violated antitrust laws.
In the suit, the Justice Department said Live Nation unlawfully thwarted competition in concert ticketing and promotion, leading music fans to pay higher prices for tickets and limiting venues’ options in choosing a ticketing service.
Ticketmaster was founded in 1976 in Phoenix, Arizona. In 2010, Live Nation, based in Beverly Hills, California, acquired the ticketing platform and formed Live Nation Entertainment.
