Live Nation and the Department of Justice have reached a settlement in their antitrust case.
According to Rolling Stone, the two parties settled a week after the case went to trial in New York City. The deal doesn’t require Live Nation and Ticketmaster to part ways; however, the live entertainment company will reportedly be hit with a fine of approximately $300 million and will be obligated to change some parts of its business.
One of those changes includes Live Nation-owned amphitheaters, where service fees will be forcibly capped at 15 percent of ticket prices. Live Nation will also be mandated to divest from at least 13 of its amphitheaters, a number that could increase.
To allow for more competition, companies like SeatGeek and Eventbrite will be able to list their tickets on Ticketmaster’s platform. Additionally, Ticketmaster’s exclusivity contracts with venues can last no more than four years.
The DOJ and 38 state attorneys general, plus Washington D.C., filed the lawsuit against Live Nation in May 2024. In that time, the DOJ’s claims were pared down, including allegations that Live Nation has a monopoly in the concert promotion industry and that its strategies have driven up ticket prices.
The DOJ’s biggest claims remained a part of the case, including that Live Nation’s amphitheaters are “tied” to its promotion services. That means artists who want to play one of the company’s venues has to also use Live Nation as a promoter. Another allegation was that Live Nation threatens to keep tours from booking venues unless those venues sign long-term contracts with Ticketmaster.
Judge Arun Subramanian needs to sign off on the settlement. However, it seems that he was shocked to hear that Live Nation and the DOJ reached a deal.
According to The New York Times, the two parties signed a deal last Thursday; Subramanian only learned of the deal on Friday. He later said, “It shows absolute disrespect for the court, the jury, and this entire process. It is absolutely unacceptable.”
New York’s attorney general, Letitia James, also issued a statement, saying that the settlement “fails to address the monopoly at the center of this case, and would benefit Live Nation at the expense of consumers. We cannot agree to it.
“My attorney general colleagues and I have a strong case against Live Nation, and we will continue our lawsuit to protect consumers and restore fair competition to the live entertainment industry,” she added. “We will keep fighting this case without the federal government so that we can secure justice for all those harmed by Live Nation’s monopoly.”