DOJ Takes Aim at Live Nation-Ticketmaster Monopoly in Landmark Antitrust Lawsuit

Jonathan Kanter, the Biden-appointed Assistant Attorney General, currently leads a pivotal antitrust division within the Department of Justice (DOJ) from his office located in the heart of Washington, D.C. Recently, the DOJ has taken high-profile legal action against Live Nation Entertainment, the parent company of Ticketmaster, in an effort to dismantle the monopoly it holds over the live-music industry. The lawsuit, filed in conjunction with 30 state attorneys general from both red and blue states, represents a significant challenge to corporate monopoly structures in the entertainment field.

Live Nation Entertainment, valued at $25 billion, dominates the live-music business, owning and operating numerous major venues across the United States and other parts of the world. Its merger with Ticketmaster in 2010 created a powerful entity that controls both concert promotion and ticketing. Critics argue this has led to higher prices and fewer choices for concert-goers, fueling frustration amongst fans.

According to Kanter, the DOJ’s case against Live Nation-Ticketmaster contends the company has illegally monopolized markets across the live-music industry in America. He states that Live Nation’s practices include luring artists into touring contracts that smaller competitors cannot match, leading to higher ticket prices for consumers who must bear the cost.

The DOJ lawsuit was the culmination of an extensive 18-month investigation. Kanter claims that the department’s investigation was prompted by “a steady stream of concerns” from both industry insiders and consumers, emphasizing that the issues highlighted in the lawsuit extend beyond the highly publicized Taylor Swift “Eras Tour” ticket sales debacle.

Live Nation disputes the DOJ’s allegations, asserting that their conduct is necessary given the competitive pressures in the ticketing and promotion industries. Dan Wall, Live Nation’s Executive Vice President of Corporate and Regulatory Affairs, argues that the company’s practices reflect normal market competition and blames high ticket prices on factors such as production costs and predatory scalping. Wall contends that breaking up Live Nation will not mitigate these broader issues and maintains that the merger has been integral to the survival of the live-music business amidst changing economic conditions.

The DOJ’s case points to techniques like exclusivity deals with venues and punitive actions against those attempting to use alternative ticket services, as areas where Live Nation’s market dominance has been enforced unfairly. These business practices, according to the DOJ, effectively shut out competition and limit consumer benefits.

As an outspoken advocate for stronger antitrust enforcement, Kanter emphasizes the importance of fair market competition for economic freedom and opportunity. “The power that big companies have can rival governments if not exceed them,” Kanter is quoted as saying, highlighting the need for actions to prevent monopolization that limits consumer choice and elevates costs unnecessarily.