NEW YORK — A jury has found that concert giant Live Nation and its Ticketmaster subsidiary had a harmful monopoly over big concert venues, dealing the company a loss in a lawsuit over claims brought by Colorado and dozens of other U.S. states.
A Manhattan federal jury deliberated for four days before reaching its decision Wednesday in the closely watched case, which gave fans the equivalent of a backstage pass to a business that dominates live entertainment in the U.S. and beyond.
“Live Nation is a monopolist and has abused its monopoly power to squeeze out competition, jack up ticket prices, stifle artists and make it harder for fans to see their favorite artists,” Colorado Attorney General Phil Weiser said in a statement.
The judge overseeing the trial told lawyers on both sides to meet with one another “and the United States” to provide a joint letter proposing a schedule for motions and how the remedies phase of the case would occur. He told them to deliver it by late next week.
The trial brought Live Nation , where he was questioned about matters including the company’s in 2022. Rapino blamed a cyberattack.
The proceedings also aired a Live Nation employee’s to another employee declaring some prices “outrageous,” calling customers “so stupid” and boasting that the company was “robbing them blind, baby.” The employee, Benjamin Baker, who has since been promoted to a position as a ticketing executive, that the messages were “very immature and unacceptable.”
Live Nation Entertainment owns, operates, controls booking for or has an equity interest in hundreds of venues. Its subsidiary Ticketmaster is widely considered to be the world’s largest ticket-seller for live events. Its lawyers did not immediately comment as they left the courthouse, but said a statement would be issued shortly.
The verdict could cost Live Nation and Ticketmaster hundreds of millions of dollars, just for the $1.72 per ticket that the jury found Ticketmaster had overcharged consumers in 22 states. The companies could also be assessed penalties. In addition, sanctions could result in court orders that they divest themselves of some entities, including venues such as amphitheaters that they own.
The civil case, , accused Live Nation of using its reach to smother competition — by blocking venues from using multiple ticket sellers, for example.
“It is time to hold them accountable,” Jeffrey Kessler, an attorney for the states, said in a closing argument, calling Live Nation a “monopolistic bully” that drove up prices for ticket buyers.
Live Nation insisted itap not a monopoly, saying that artists, sports teams and venues decide prices and ticketing practices. A company lawyer insisted its size was simply a function of excellence and effort.
“Success is not against the antitrust laws in the United States,” attorney David Marriott said in his summation.
Ticketmaster was established in 1976 and merged with Live Nation in 2010. The company now controls of 86% of the market for concerts and 73% of the overall market when sports events are included, according to Kessler.
Ticketmaster has long drawn ire from fans and some artists. Grunge rock titans Pearl Jam battled the business in the 1990s, even filing an anti-monopoly complaint with the U.S. Department of Justice, which declined to bring a case then.
Decades later, the Justice Department, joined by Colorado and dozens of states, brought the current lawsuit during Democratic former President Joe Biden’s administration. Days into the trial, Republican President Donald Trump’s administration announced it was settling its claims against Live Nation.
The a cap on service fees at some amphitheaters, plus some new ticket-selling options for promoters and venues — potentially allowing, but not requiring, them to open doors to Ticketmaster competitors such as SeatGeek or AXS. But the settlement doesn’t force Live Nation to split from Ticketmaster.
A handful of the states . But more than 30 pressed ahead with the trial, saying the federal government hadn’t gotten enough concessions from Live Nation.
“State attorneys general stood strong and continued this case without the federal government because we believed that concertgoers deserved a fair trial and a fair deal,” Weiser said. “Live Nation is being held to account for violating state and federal antitrust laws, and I’ll continue to fight to break up their monopoly, restore competition and get money back for concertgoers.”
New Jersey Attorney General Jennifer Davenport said in a release that the “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,” she added.
New York Attorney General Letitia James called the verdict “a landmark victory in our ongoing work to protect our economy and New Yorkers’ wallets from harmful monopolies.”
After the victory, Kessler would not say specifically what the states will seek in the next phase of the litigation, which was expected to involve another lengthy proceeding with witnesses before penalties are decided on.
But he celebrated the moment.
“Itap a great day for consumers. This case is a tribute to the 34 states and the District of Columbia who carried this case forward,” he said.
