Ticketmaster keeps an average of $7.58 of the price of each ticket for events at major concert venues, an attorney for New York state told jurors at a trial where dozens of states, including Iowa, are seeking to recoup damages for fans.
Ticketmaster and its parent company, Live Nation, are accused of abusing their market power to prop up illegal monopolies in the concert industry. The trial in Manhattan, which began with opening statements Tuesday, March 3, could result in the U.S. Department of Justice arguing for a breakup of Live Nation and Ticketmaster or a ruling that the companies must pay compensation to ticket purchasers.
In Iowa, Live Nation manages Vibrant Music Hall in Waukee and ticketing for dozens of other venues. Iowa Attorney General Brenna Bird joined the suit against Live Nation in August 2024, about three months after it was filed.
Bird is one of the 38 state attorneys general who are plaintiffs in the case with the Department of Justice. Washington, D.C., also has joined. They claim the entertainment conglomerate dominates live-event markets in ways that hurt artists, venues and fans.
“Today, the concert ticket industry is broken, in fact the concert industry itself is broken,” DOJ attorney David Dahlquist told jurors in his opening statement. “It is controlled by a monopolist. It is controlled by Live Nation.”
Ticketmaster keeps more in fees than competitors such as AXS, according to an expert’s estimate cited by Jonathan Hatch, an attorney for New York state. Fans in the states seeking damages are estimated to have overpaid between $1.56 and $1.72 for each ticket purchased, Hatch said.
“We are talking about real money coming out of people’s wallets,” he said.
Live Nation attorney David Marriott told jurors that Ticketmaster takes around 5% of what fans pay for tickets. The company is not a monopolist and faces fierce competition across the industry, he said.
“Every customer we get is a hard-fought battle in a competitive marketplace,” he said.
Singer Kid Rock and Ben Lovett of the band Mumford & Sons are expected to testify at the trial, as are executives from rival ticketing companies and venues, including New York’s Madison Square Garden.
The DOJ alleges in the case that Live Nation holds illegal monopolies in certain venue and ticketing markets.
Live Nation is accused of requiring artists to use its concert promotion services if they perform at the outdoor amphitheaters it owns. The DOJ also alleges the company’s Ticketmaster arm dominated ticketing services through threats and multi-year exclusive contracts with major concert venues.
U.S. District Judge Arun Subramanian recently cut several claims from the case, but rejected Live Nation’s request to pause the trial to allow it to appeal.
The U.S. Federal Trade Commission has filed a separate case against Ticketmaster, accusing the company of allowing exploitative ticket resellers to flout its rules and gouge fans.
(This article was edited to correct information.)
This article originally appeared on Des Moines Register: Iowa among plaintiffs as Live Nation, Ticketmaster trial begins
Reporting by Jody Godoy, Reuters / Des Moines Register
USA TODAY Network via Reuters Connect
