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| Live Nation’s deals with venues and artists are under investigation by the US Justice department -WSJ |
In a move that has captured widespread attention, the US Justice Department's inquiry into Live Nation revolves around suspicions of anticompetitive practices in its agreements with venues and artists. According to insiders cited by the Wall Street Journal, the investigation has gained momentum in recent weeks as enforcers have issued documentation retention letters to talent agencies responsible for brokering contracts between artists and Live Nation, as well as other promoters.
This development follows earlier reports from July, in which Politico suggested that the Justice Department might file an antitrust lawsuit against Live Nation and its subsidiary, Ticketmaster, by year's end. The ongoing investigation delves into the specific terms Live Nation offers to artists and venues and assesses the potential restrictions these agreements may impose. Furthermore, it aims to determine whether corporate contracts hinder venues from collaborating with alternative promoters or ticket services, as highlighted by the Wall Street Journal.
Both Live Nation and the Justice Department have yet to provide official statements on the matter, maintaining silence on the investigation's status and implications for the live entertainment industry.
Notably, this investigation comes on the heels of criticism directed at Ticketmaster earlier in the year. US Senators publicly questioned Ticketmaster's ticket sales handling for Taylor Swift's concert tour, which led to fan frustration and a slew of complaints. In November 2022, Ticketmaster canceled a scheduled ticket sale to the general public for Swift's tour after her website was inundated with over 3.5 billion requests from fans, bots, and scalpers.
It's worth mentioning that Ticketmaster has consistently denied engaging in anticompetitive practices. The company emphasized that it remains subject to a consent decree with the Department of Justice following its 2010 merger, asserting that no concrete evidence of systematic violations of the consent decree has been found.
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