fan

Jury finds Ticketmaster and Live Nation operated illegal monopoly

Beverly Hills-based Live Nation and its Ticketmaster subsidiary faced a bruising courtroom loss Wednesday after a federal jury found that the company operated a monopoly over concert venues.

The verdict by a Manhattan, N.Y., jury came after a five-week trial and caps a closely watched case that could have far reaching effects across the music industry, potentially leading to the breakup of the companies.

Ticketmaster is the world’s largest ticket seller for live events, while Live Nation is a dominant force in the concert business.

The civil case began when the federal government alleged that Live Nation used its clout to engage in a variety of anticompetitive practices, including preventing venues from using multiple ticket sellers.

“It is time to hold them accountable,” Jeffrey Kessler, an attorney for the states, said in a closing argument. He called Live Nation a “monopolistic bully” that drove up prices for ticket buyers.

Jurors agreed. They found that Ticketmaster had overcharged consumers by $1.72 for each ticket. The judge will assess damages later.

Live Nation, which owns and operates hundreds of venues, countered that it did not violate U.S. antitrust laws, arguing that artists, sports teams and venues decide prices and ticketing practices.

“Success is not against the antitrust laws in the United States,” Live Nation attorney David Marriott said in his summation.

Live Nation said in a statement that the “jury’s verdict is not the last word on this matter,” noting the court had yet to rule on a motion it had filed to challenge its liability in the case.

The trial revealed some embarrassing internal communications, including emails from a Live Nation executive who called customers “so stupid” and said the company was “robbing them blind, baby.” The executive, Benjamin Baker, testified that the messages were “very immature and unacceptable.”

The original lawsuit, led by a cadre of interested parties including the federal government, 39 states and the District of Columbia, dates to 2024. It alleged that Live Nation and Ticketmaster monopolized various aspects of the live music industry, such as concert promotion, venue operations, artist management and ticketing services.

Live Nation manages more than 400 artists and controls more than 265 venues in North America, while Ticketmaster simultaneously controls around 80% of the primary ticket marketplace and also is increasing its involvement in the resale market, according to the lawsuit.

Last month, Live Nation secured an unexpected tentative settlement with the Department of Justice in which the company agreed to several structural changes to its business, including adjustments to ticketing deals with venues, capping service fees and paying a $280-million fine.

However, more than 30 states, including California, decided to proceed with the trial. California Atty. Gen. Rob Bonta praised these state-led efforts to protect consumers, even amid dwindling antitrust enforcement from the Trump administration, he said in a statement.

“This is a historic and resounding victory for artists, fans, and the venues that support them,” Bonta said. “We are incredibly proud of today’s outcome … 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.”

Though a verdict has been reached, remedies for how Live Nation will be held accountable for its actions are still being decided by the judge.

One possibility is that the companies could be split up, an outcome favored by critics.

National Independent Venue Assn. Executive Director Stephen Parker said Ticketmaster and Live Nation need to be separate for the industry to see change.

“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,” Parker said in a statement. “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.”

Serona Elton, attorney and interim vice dean at the University of Miami’s Frost School of Music, said that the separation of Live Nation and Ticket master seems to be “on the table,” but she said it’s too early to assess the verdict’s fallout on the music industry.

Elton said fans might notice small changes in pricing, but there are factors other than Live Nation that are contributing to high ticket prices, such as the secondary ticket market as well as supply and demand challenges.

The verdict, Elton said, “sends a message of support to music companies and professionals working in the live space who have felt like they have suffered financial consequences because of Live Nation’s behavior.”

The ruling is a small but necessary step toward achieving a balanced and competitive ticketing industry, said Hal Singer, a managing director of economic consulting firm Econ One, who specializes in antitrust and consumer protection issues.

Forcing a Ticketmaster sale probably is the only remedy that will bring real change, Singer said.

“We’re not out of the woods quite yet,” Singer said. “We’ve kind of tilted the probability.… It could change the competitive balance. But that requires that a meaningful remedy follows the liability. You need both.”

Fans and some artists have long groused about Ticketmaster, which was founded in 1976 and merged with Live Nation in 2010.

Dustin Brighton, director of government relations for the Coalition for Ticket Fairness, agreed that although the verdict is a landmark moment for fans, “it’s not the end of the road.”

“As the court considers remedies, the focus must be on restoring competition, increasing transparency, and ensuring fans have real choice,” Brighton said in a statement.

Times staff writer August Brown and the Associated Press contributed to this report.

Source link

USOPC ‘quite confident’ of LA28 direction amid ticket sales uproar

Fans are frustrated with LA28. City Council members are battling over billions of dollars and overdue contracts. But in front of the U.S. Olympic and Paralympic Committee board of directors, LA28 found support for the private organizing committee’s progress with a little more than two years remaining before the Games open in L.A.

Despite pushback from locals, LA28 leadership, including chief executive officer Reynold Hoover and chief executive officer responsible for revenue John Slusher, spoke to the USOPC on Wednesday about the ticket sale process, explained the superbloom-inspired look of the Games and celebrated the committee’s recent commercial success that surpassed more than $2 billion in sponsorship agreements.

“We were quite encouraged to hear from them,” USOPC chair Gene Sykes said during a conference call Wednesday after a board of directors meeting, “and quite confident in the direction of LA28 from an operational standpoint.”

The private group responsible for bringing the Games back to L.A. for the first time in four decades opened ticket sales this month after attracting a record number of interested fans. The first week of sales — reserved for locals in Southern California and Oklahoma City near competition venues — “significantly exceeded first-week sales for any previous Olympic Games,” LA28 said in a statement.

But many fans were shocked to see opening ceremony tickets topping $5,000. They complained about a shortage of options for the most in-demand sports and were surprised to see a 24% service fee. Global sales opened on April 9 and many of the problems, including website glitches and unavailable tickets, persisted.

The USOPC board discussed the fee with LA28, and recognized that it is “part of a framework that is a framework they accept,” Sykes said, “as opposed to challenging it or trying to make it something different.”

The fee is included in the listed price of the tickets, which start at $28. There will be 1 million tickets sold at $28 each, and nearly half of the Olympic tickets are under $200. More than 75% are under $400 and about 5% of tickets are more than $1,000.

“I know they’re thinking very, very seriously about how to manage the ticket activity so that it satisfies everybody,” Sykes said.

LA28 will have 14 million tickets available between the Olympics and Paralympics, which would break Paris 2024’s record of 12 million tickets sold. The current ticket drop, which is open to fans worldwide, ends April 19. LA28 expects to have a second drop this year, but has not released specific details about when.

Ticket headaches have added to a controversial run-up to the Games for LA28, which also faced backlash after chairman Casey Wasserman was mentioned in the Epstein files released in February. The LA28 executive committee backed Wasserman after a review with the assistance of outside counsel. Wasserman announced that month he would sell his talent agency but planned to continue working with LA28.

When asked Wednesday what the USOPC board believed Wasserman’s role with LA28 should be moving forward, Sykes said the organizations have had discussions and are monitoring the “impact on our community.” But it is ultimately the LA28 board’s decision to select its chair. Wasserman was appointed by former Mayor Eric Garcetti to lead the Olympic effort in 2014.

“Separate from the LA28 board … LA28’s leadership Reynold Hoover and John Slusher, but many other people among the hundreds of people who work for LA28 have continued to assemble a very strong team,” Sykes said, “and show measurable progress on all the fundamental things that they need to do to make the Games a very, very strong Games, and have a remarkable experience. We remain very confident that that progress is both evident and very solid and that [it] will involve the planning with partners, athlete engagement, public support and corporate interest, all of which remain very strong, and I think, very encouraging. The ongoing committee is executing effectively, and we’re very happy to work with them.”

Source link

When is LA28’s next Olympics ticket drop, and where are $28 tickets?

You ask. We answer. Or at least we’re going to try.

The Times asked readers for their burning questions regarding the Olympics, and it’s the ticketing process that’s bringing the most heat. Locals in Southern California and Oklahoma City endured the presale headaches and sticker shock before the global audience got their shot at securing tickets this week. But with more than two years remaining until the Games open, expect that there will be more questions.

Here is what Times readers wanted to know:

Why are tickets so expensive?

A price tag of $5,000 to watch the opening ceremony or $2,500 for women’s artistic gymnastics finals shocked hopeful fans on the first day of ticket sales. But it’s not 1984 anymore.

Ticket sales and hospitality are expected to cover about $2.5 billion of the total $7.1 budget. LA28 will have 14 million tickets available across the Olympics and Paralympics, so taken in total, the average ticket for the Games would have to be roughly $179 to reach the budget estimate. Paralympic tickets, which will go on sale in 2027, are expected to be less expensive than Olympic tickets. LA28 said the average Olympic ticket — inclusive of the 24% fee — is less than $200. The math is mathing.

LA28 did not release a complete price list before tickets went on sale, likely fueling some of the sticker shock after fans just heard about the promise of $28 tickets. And a 24% fee raised additional eyebrows.

The fees “align with standard industry practices for ticketing live events in the U.S.,” LA28 said in a statement and cover the costs of secure processing and delivering tickets.

Are there still $28 tickets available?

Yes. LA28 chief executive officer Reynold Hoover said at a recent press event that there are $28 tickets that have not yet been released.

But expect the tickets to go quickly whenever they are available.

There are roughly 1 million $28 tickets total. Divide those tickets to ensure they can be distributed over a number of drops and then divide each drop’s $28 tickets across multiple sports. It’s quickly resembling a small number of needles in a big haystack.

The 1 million $28 tickets are spread across every sport, but not every session. So don’t expect $28 tickets for finals or knock out rounds to the most in-demand sports including women’s artistic gymnastics, basketball, swimming or track and field to be sold at all. Cross your fingers, look for qualifying rounds, especially sports that have a lot of early pool matches such as 3×3 basketball or field hockey, and be open to exploring a new sport you’ve never heard of. Handball is actually a lot of fun to watch.

How many tickets are available in each drop?

This is a question everyone wants to know. And trust me, we’ve asked. LA28 declined in multiple settings to release specific numbers. The lack of information likely contributed to much of the confusion about what to expect when fans logged into the portal for the first time, and it makes it difficult to project what the ticket distribution will look like in future drops.

I had a time slot but didn’t buy my full allotment of tickets. What now?

If you didn’t buy the maximum 12 tickets allowed, you’ll automatically be entered for the next ticket draw later this year. LA28 has not released any additional details about when exactly that next opportunity will be, but it will have the same steps as the first one: a period of open, free registration, a random lottery and assigned time slots during which fans can log in and purchase tickets.

Fans will be automatically rolled over into future lotteries until they’ve reached the maximum 12 general tickets. So you don’t have to do anything extra if you’ve already registered for the first drop. But if you’ve bought your 12 general tickets and not the additional 12 soccer tickets, you won’t be entered into the next draw.

I didn’t register for the presale/first drop. Can I still get a chance to buy tickets?

Don’t panic. You can register next time. The next drop, which will come later this year, will have the same registration period, lottery, time slot pattern, but there will not a presale period. Each lottery is random, so whether you are a first-drop rollover, a new registrant on the first day or someone who signs up on the last day, you all have the same chance to get a time slot.

There will be multiple time slot-based ticket drops before tickets move to a complete first-come, first-served sale.

How can groups get access to the tickets available through the donation program?

Last November, LA28 launched a donation program to help fund tickets for local organizations. The Rams were the first contributors to the program, pledging $5 million to the campaign. But LA28 has not released additional information yet about how the tickets will be handled or distributed in the future.

Will I be able to transfer tickets to friends/family?

Yes. Digital tickets for recent Olympics have been distributed through an app and when they hit your account, you can send them to friends and family using their email addresses/Olympic account information. Just be prepared to download yet another app on your phone.

Why are some events in Oklahoma?

The softball tournament will be in Oklahoma City’s Devon Park, which hosts the Women’s College World Series every year, and canoe slalom will take place at Riversport OKC, the official U.S. Olympic and Paralympic training center for rowing and canoe/kayak.

These Games were intended to use existing infrastructure instead of building new venues, which greatly cuts down on costs. Hosting the canoe slalom events near L.A. would have required an expensive temporary build. It’s true that Southern California has many great college softball teams with existing facilities, but it would be difficult to prepare to a scale suitable for Olympic athletes, stakeholders, media and fans. I’ve covered many softball games at UCLA. The fan capacity is less than 1,500 and there’s room for about seven people in the press box. Eight if you scrunch. You can’t build temporary stands there; the outfield touches Sunset Boulevard.

In Tokyo, the last time baseball and softball were at the Olympics, the sports shared a venue. But LA28 organizers heard feedback from softball athletes saying that converting a baseball stadium into a softball venue compromised some of the Games experience. Moving the softball and canoe slalom events outside of Southern California is a trade off though. Those athletes will not be able to have some of the same Olympic experiences as others, but organizers were mindful to make the competition schedule to ensure that athletes could still attend either the opening or closing ceremonies despite competing far away.

Every Olympics wrestles with finding the perfect venue, and for the L.A. Games, which have more sports and more athletes than any Olympics in history, that calculus is harder than most. There are no perfect solutions.

The Times will continue answering reader questions leading up to the Olympics. Use the form below to submit your questions and check back later for more responses.

Source link