A jury has found that Live Nation Entertainment and its subsidiary, Ticketmaster, illegally monopolized the US ticketing market in a landmark verdict that could reshape the live entertainment industry.
The jury in Manhattan federal court reached its verdict on Wednesday (April 15) following a six-week trial, as reported by outlets including NBC News and Bloomberg.
The jury also found that Live Nation overcharged consumers on tickets sold from May 2020 through 2024, according to a statement from California Attorney General Rob Bonta.
The verdict is a significant blow to the world’s largest concert promoter and a major victory for the coalition of 34 states that continued the trial after the US Department of Justice reached a settlement with the company in March.
It will now fall to US District Judge Arun Subramanian, who is presiding over the case in the Southern District of New York, to determine the remedy. The states have pushed for a break-up of Live Nation and its ticketing subsidiary Ticketmaster, though the judge could instead opt to impose limits on the company’s business practices.
Reuters noted that Live Nation’s shares were down 6.3% in afternoon trading following the news.
The DOJ sued Live Nation and Ticketmaster in May 2024, joined by attorneys general from dozens of states and the District of Columbia. They accused the company of “monopolization and other unlawful conduct that thwarts competition in markets across the live entertainment industry.”
The trial began on March 2 in Manhattan, but was thrown into chaos a week later when the DOJ announced a settlement with Live Nation that allowed the company to retain ownership of Ticketmaster.
An initial coalition of 27 states and the District of Columbia rejected the deal, with New York Attorney General Letitia James saying the settlement ‘fails to address the monopoly at the center of this case.’ The states filed a motion for a mistrial, accusing the DOJ and Live Nation of ‘gamesmanship’.
Judge Subramanian declined to grant the mistrial but ordered the states to engage in settlement talks with Live Nation. Those talks were ultimately unsuccessful, and the trial continued with a broader coalition of 34 states pressing their claims.
During closing arguments, the states’ attorney Jeffrey Kessler told jurors that Live Nation is a “monopolistic bully” that controls 86% of the ticketing market for major concert venues. Live Nation attorney David Marriott countered that the company’s success reflects the quality of its products and services, not illegal conduct. “We are big. That is not against the laws in the United States,” Marriott told the court.
“This is a historic and resounding victory for artists, fans, and the venues that support them.”
California Attorney General Rob Bonta
“The verdict is in! A jury today found Live Nation/Ticketmaster liable for anticompetitive conduct that harmed the music industry and included overcharging consumers. This is a historic and resounding victory for artists, fans, and the venues that support them,” said Attorney General Bonta.
“In the face of dwindling antitrust enforcement by the Trump Administration, this verdict shows just how far states can go to protect our residents from big corporations that are using their power to illegally raise prices and rip-off Americans. We are incredibly proud of today’s outcome — and especially proud of our coalition made up of red and blue states alike who understood we needed to come together to protect our consumers, businesses, and state economies from Live Nation’s illegal conduct.”
“Today’s landmark jury verdict in our case against Live Nation confirms what we have said since the start of our case: For far too long, Live Nation has illegally profited from its monopoly at the expense of hardworking New Jerseyans.”
New Jersey Attorney General Jennifer Davenport
New Jersey Attorney General Jennifer Davenport added: “Today’s landmark jury verdict in our case against Live Nation confirms what we have said since the start of our case: For far too long, Live Nation has illegally profited from its monopoly at the expense of hardworking New Jerseyans. Live Nation’s illegal, anti-competitive practices have caused immense damage in our state, exploiting consumers by driving up the price of tickets and making it harder for fans to see their favorite artists.
“Our office, working in close partnership with a bipartisan group of state attorneys general, will continue to do everything in our power to ensure that Live Nation cannot continue to harm consumers, artists, and venues. We are committed to protecting our residents from illegal monopolies and restoring competition in the live music marketplace.”
“Today a jury in New York found Live Nation and Ticketmaster operated as an illegal monopoly.”
New Hampshire Attorney General John M. Formella
New Hampshire Attorney General John M. Formella, said: “Today a jury in New York found Live Nation and Ticketmaster operated as an illegal monopoly. This verdict ensures that Live Nation and Ticketmaster will be held accountable for violations of federal and state antitrust laws, including New Hampshire’s antitrust law. New Hampshire is proud to stand with our fellow State Attorneys General across the country in celebrating this victory for consumers. We are grateful for the jurors’ attention to this important case which impacts numerous aspects of the live entertainment industry.”
National Independent Venue Association (NIVA) Executive Director Stephen Parker issued the following statement after a jury found Live Nation and Ticketmaster operated as an illegal monopoly:
“In the 44 days Live Nation’s lawyers spent arguing about whether they broke the law, Live Nation made $3.1 billion. Today, the jury confirmed what artists, fans, and independent venues have believed for 15 years: Live Nation is an illegal monopoly. The consequences should be swift and disruptive to their vertically-integrated market power.
“Live Nation and Ticketmaster must be broken up now. Ticketmaster should not be permitted to participate in the ticket resale market. Live Nation should not be able to promote more than 50% of artists’ tours. And the damages paid to the states should be remitted to the independent venues, promoters, festivals, and fans that have suffered under Live Nation’s monopolistic reign over the last 15 years.
“The nation’s fans and independent stages have hope once again because the jury saw Live Nation for what it is. Now the case is in the hands of the judge and the Plaintiff States to determine the remedies that will protect and compensate fans, venues, and promoters for the effects of their monopolistic conduct, and prevent it in the future.”
The verdict came a day after six US senators filed a letter with Judge Subramanian urging him to use his authority under the Tunney Act to scrutinize and potentially reject the DOJ’s March settlement with Live Nation.
Senators Amy Klobuchar, Elizabeth Warren, Cory Booker, Richard Blumenthal, Mazie Hirono and Peter Welch argued in the letter, which you can read here, that “mere behavioral safeguards like those in the proposed settlement are insufficient to remedy Live Nation-Ticketmaster’s monopoly power.”
The senators also raised concerns about the circumstances surrounding the settlement, citing sworn testimony from fired DOJ deputy Roger Alford that Live Nation lobbyist Mike Davis had threatened then-antitrust chief Gail Slater over a separate case, and later “admitted in sworn testimony that he recommended Ms. Slater’s firing to ‘anyone who would listen.’”
Slater was ousted from her position on February 12, less than a month before the DOJ settled with Live Nation.
The letter urged the court to conduct an independent examination into whether the settlement was “genuinely made in the public interest,” including requiring the parties to submit a complete description of all communications concerning the deal.
Music Business Worldwide
A jury has ruled that Live Nation Entertainment and its subsidiary Ticketmaster unlawfully monopolized the U.S. ticketing market, marking a significant turning point for the live entertainment sector. This verdict, reached on April 15 in Manhattan federal court after a six-week trial, is a substantial victory for a coalition of 34 states that pursued the case even after the U.S. Department of Justice (DOJ) settled with Live Nation in March 2024. According to California Attorney General Rob Bonta, the jury also determined that Live Nation overcharged consumers for tickets between May 2020 and 2024.
Now, U.S. District Judge Arun Subramanian will decide the appropriate remedies for this ruling. The states involved are advocating for a breakup of Live Nation and Ticketmaster, although the judge may opt to impose restrictions on the company’s operations instead. Following the verdict, Live Nation’s shares fell by 6.3%.
The DOJ had previously filed a lawsuit against Live Nation and Ticketmaster in May 2024, accusing them of monopolizing the live entertainment industry and engaging in practices that stifle competition. The trial commenced on March 2, but was disrupted when the DOJ and Live Nation announced a settlement allowing Live Nation to keep Ticketmaster. This settlement was criticized by a coalition of states, which believed it did not adequately address the monopolistic behavior at the heart of the case. New York Attorney General Letitia James denounced the deal, prompting a failed motion for mistrial. Judge Subramanian ordered settlement discussions, which ultimately proved unfruitful, leading to the continuation of the trial with the larger coalition of states.
During closing arguments, Jeffrey Kessler, representing the states, characterized Live Nation as a « monopolistic bully » that controls 86% of the ticketing market for major venues. In contrast, Live Nation’s attorney, David Marriott, contended that the company’s success is a testament to the quality of its services rather than illegal activity, asserting that being a large company is not against U.S. laws.
Attorney General Rob Bonta hailed the verdict as a « historic and resounding victory for artists, fans, and the venues that support them, » emphasizing the importance of state-level action against corporate monopolies. New Jersey Attorney General Jennifer Davenport echoed these sentiments, stating that Live Nation’s practices had exploited consumers and harmed the local economy. New Hampshire Attorney General John M. Formella also celebrated the jury’s decision, affirming that it would hold Live Nation accountable for violating antitrust laws.
In the wake of the verdict, Stephen Parker, Executive Director of the National Independent Venue Association (NIVA), expressed the need for swift and effective remedies to dismantle Live Nation’s overwhelming market power. He criticized the company, stating that during the trial, Live Nation had made $3.1 billion, thus confirming suspicions about its monopolistic practices. Parker urged for significant changes, including barring Ticketmaster from participating in the ticket resale market and limiting Live Nation’s promotion of artist tours.
The verdict arrived shortly after a group of six U.S. senators wrote to Judge Subramanian, urging him to scrutinize the DOJ’s March settlement with Live Nation under the Tunney Act, suggesting that merely behavioral safeguards would not sufficiently address the monopoly issue. They raised concerns about potential lobbying influences on the DOJ’s decision-making process and called for an independent investigation to ensure that the settlement served the public interest.
The outcome of this trial not only has the potential to reshape the live entertainment industry but also signals a broader movement towards increased scrutiny of monopolistic practices in various sectors. The implications for consumers, artists, and smaller venues could be profound, as the case highlights the challenges posed by dominant players in the market. The future of Live Nation and Ticketmaster now rests in the hands of the judge, whose forthcoming decisions will be critical in determining the landscape of live entertainment and ticketing in the United States.
