The Department of Justice (DOJ) filed an antitrust lawsuit against Ticketmaster on Thursday, accusing the ticketing service of monopolizing the live events industry in the United States.
“It’s time for fans and artists to stop paying the price for Live Nation’s monopoly,” explained Attorney General Merrick Garland. “It is time to restore competition and innovation in the entertainment industry. It is time to break up Live Nation, Ticketmaster. The American people are ready for it.”
The DOJ’s lawsuit alleges that Live Nation Entertainment, the parent company of Ticketmaster, has dominated the entire live event industry through the use of threats and retaliation. The company is accused of using long-term contracts to prevent venues from choosing rival ticketing companies, blocking venues from using multiple ticketing services, and threatening financial consequences if venues do not select Ticketmaster, according to a report by the Associated Press.
The lawsuit also highlights consumer grievances about the “endless list of fees” imposed on fans.
The lawsuit, filed in a federal court in Manhattan, is supported by 30 state and district attorneys general. Assistant Attorney General Jonathan Kanter of the DOJ’s Antitrust Division emphasized, “Live music should not be available only to those who can afford to pay the Ticketmaster tax.
“We are here today to fight for competition so that we can reopen the doors to the live music industry for all,” Kanter added.
In response to the lawsuit, Live Nation stated that litigation would not address the issues fans face regarding ticket prices, service fees, and access to popular shows.
“Calling Ticketmaster a monopoly may be a PR win for the DOJ in the short term, but it will lose in court because it ignores the basic economics of live entertainment, such as the fact that the bulk of service fees go to venues, and that competition has steadily eroded Ticketmaster’s market share and profit margin,” the company argued.
According to the DOJ, approximately 70% of tickets for major concert venues across the country are sold through Ticketmaster. The company’s practices drew significant attention from the federal government in 2022, when its site crashed during a presale for Taylor Swift’s tour, sparking widespread public outrage and calls for government intervention.
