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Live Nation and Ticketmaster Antitrust Trial: Key Developments

In a recent filing, government lawyers have made public incendiary internal messages from a Live Nation employee that are being used as evidence in the ongoing antitrust trial against the entertainment giant and its subsidiary Ticketmaster.

The messages, which were exchanged on the online work messaging platform Slack from late 2021 through early 2023, include a regional director of ticketing referring to fans as "so stupid" and boasting that Live Nation is "robbing them blind, baby." The government lawyers argue that these messages are "candid, internal messages" that demonstrate Live Nation's anticompetitive practices and should be considered as evidence in the trial.

Live Nation is facing allegations from the federal government and 39 states and the District of Columbia that it is squelching competition and driving up prices for fans through threats, retaliation, and other tactics. The company insists that artists, sports teams, and venues set prices and decide how tickets are sold.

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The government lawyers argue that the messages are relevant to the antitrust claims, as they demonstrate Live Nation's practice of charging excessive prices for ancillary services such as VIP club access and premier parking. Live Nation has responded that the messages are simply "off-the-cuff banter" between two personal friends and do not reflect the company's policy.

The trial's status is currently uncertain, as the federal government has announced a settlement with Live Nation that would give the company's competitors access to ticket sales. However, lawyers for more than two dozen states have asked that the trial be scrapped and a new jury be chosen.

Key figures:

  • Ben Baker: regional director of ticketing with Live Nation
  • Arun Subramanian: judge presiding over the antitrust trial
  • Live Nation: entertainment giant and parent company of Ticketmaster
  • Ticketmaster: subsidiary of Live Nation

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Important dates:

  • Late 2021: internal messages exchanged on Slack
  • Early 2023: internal messages exchanged on Slack
  • Week-old trial: antitrust trial against Live Nation and Ticketmaster in Manhattan federal court

Investor Takeaway

Investors should be cautious of potential antitrust implications and their impact on Live Nation's business.

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