Andy Abramson’s Post

Rep. Bill Pascrell (D-NJ) released some information from a report investigating Ticketmaster/Live Nation practices that suggest they were fudging the numbers they reported to artists and vendors basically reporting low profit to them while reporting high profits to investors: Among the allegations: "Live Nation/Ticketmaster negotiated third-party expenses, like rental costs with venues, directly with vendors in exchange for exclusive financial gains not disclosed to the artists or their agents, managers, or independent co-promoters in the form of “rebates.” "Live Nation/Ticketmaster has insulated its profit through these “rebates” which are based on volume, while artists, agents, managers and co-independent promoters are compensated on “value” of ticket sales." "Live Nation/Ticketmaster’s business model allows them to show “loss” or low “promoter profit” to its vendors and partners, including co-independent promoters, while reporting profit or higher income to regulators and shareholders." https://lnkd.in/gcVpECGW

Entertainment event ticket prices are skyrocketing, and it is crucial to see some regulation in this industry. 1️⃣ The House passed the Transparency in Charges for Key Events Ticketing Act to increase consumer price transparency and require sellers to list the total ticket cost, including fees. 2️⃣ The TICKET Act would prohibit deceptive websites used by secondary sellers, require sellers to provide refunds if an event is canceled, and disclose whether the ticket sold is speculative. 3️⃣ A related bill in the Senate is the TICKET Act and the Fans First Act, which seeks to give consumers similar protections and increase cost transparency in the ticketing industry.

NEW on ProMarket: The U.S. Department of Justice is rumored to be planning to sue Live Nation - #Ticketmaster for monopolizing markets for live events. Diana Moss (Progressive Policy Institute) explores what potential remedies the government might pursue to address competitive harms in markets such as ticketing for concert venues and sports arenas, and ticket resale, including the viability of breaking up the company. https://lnkd.in/dRrKATJ6

Dusting off my ticketing hat, here's what you should know about Live Nation Entertainment / Ticketmaster getting sued by the government: * The government created this. In 2009, the Justice Department approved a merger that led to...exactly what they're saying happened now. That wasn't really all that long ago, and it was pretty obvious at the time where this would go. The DOJ knew this, made a stern face at both companies and made them promise not to misbehave if they approved the deal. * Breaking up TM and LN won't affect consumers the way you might imagine it will. Neither fees nor ticket prices are driven by TM/LN's "monopoly" power. I could write a whole piece about that, but I've already written that piece a half dozen times over the years so...pass. * A breakup would create changes inside the industry. Some new opportunities will shake loose for smaller competitors. Independent venues might have a little more leverage. The market for paying acts will change in some ways that are a little hard to foresee. * The two parts of the organization probably should be broken up. No good can come of the biggest promoter and one of the biggest venue owners and the biggest ticketing system living under the same roof. If the breakup happens, expect Ticketmaster to grow faster and be more profitable on its own. I'll let you figure that one out yourself. Let's see what happens. https://lnkd.in/gFs2F_BD

NEWS FLASH! A long overdue lawsuit is about to begin. Both content providers and consumers will be far better served if the Department of Justice succeeds in breaking up Live Nation Entertainment and Ticketmaster.  https://lnkd.in/gHy_hSa9 The first half of my career included 15 years working as a senior ticketing specialist for NBA, Olympic, and Tony Hawk properties / events, as well as the Vancouver Aquarium (one of Western Canada’s largest attractions). I’ve also worked adjacent to ticketing specialists while involved in FIFA and the MLS.  My original foray into startups began with a five year stint supporting FTS|authenTICKET. The company created a third-party ticket authentication platform to combat $1 billion+ in fraudulent ticket trade, allow live event owners to regain full transparency over their customers, completely enhance real-time engagement for fans “in-venue,” and limit the amount of ticket revenues misappropriated by “unauthorized” resale platforms. (To be clear, there are many properties that can use all the extra revenues available to sustain their business model.  As one example… in my last year working for an NBA franchise… a league-wide financial report indicated that only 5 out of 30 teams were reporting profitable operations.) FTS|authenTICKET was only one innovator that tried to bring a new solution to the event ticketing market for the benefit of both content providers and consumers. My tenure with authenTIKCET ran between roughly 2012 and 2017.  We may not have been the best “mouse trap” out there.  Our ultimate failure to launch could easily have been attributed to any number of other variables.  But we successfully raised $1.5 million (approx.) in private equity investment.  So there was certainly belief in our model.  And we had advocates representing multiple sport leagues, the Olympics, and a range of music properties. But it became clear that TM/Live Nation represented a major obstacle in the market’s ability to test and adopt alternative ticketing solutions due to its vertical monopoly position facilitated by its merger in 2010.  Since then, TM has issued upwards of 75%-80% of high-demand tickets in North America (estimate).  Live Nation was (and still is?) the single largest global promoter.  That represents a stranglehold from an innovation perspective.  Competition breeds better solutions every day.  TM and Live Nation actively obstruct industry innovators as best as I’ve been able to determine in my own modest evaluation. I’m no longer in the field.  Instead, my experiences with FTS|authenTICKET have driven me to become a specialized advisor and growth modelling expert in the Canadian startup eco-system. But I am pleased to see the DoJ make a move.  Again, this is long overdue in the markets.  For those who love a live event experience, I’d encourage you to support this action. #ticketfraud #tickettech #startups #monopolies #innovation

Last week, the Federal Ticket Act was unanimously passed by the US House of Representatives. This is progress that we greatly welcome and is an important, much-needed step towards making ticketing fairer and more transparent for fans in the US. The new legislation mandates that organisers and ticketing sites must clearly display ‘all in’ ticket prices and disclosures over ‘speculative listings’, and includes a ban on ‘deceptive’ websites. Reflecting on the news, SECUTIX US General Manager, Michael McDermott said: "I firmly believe that the introduction of the Federal Ticket Act is a crucial step towards ensuring fairness and transparency in the ticketing industry. For over a decade, SECUTIX has pioneered direct-to-fan ticketing solutions across Europe, partnering with leading sports and live entertainment organisations to prioritise fan experience and eliminate unnecessary intermediaries. “With our proven track record in Europe, it's clear that the time has come for the United States to follow suit and deliver fair and transparent pricing to fans. SECUTIX is poised to leverage our expertise and innovative technology to support the implementation of such regulations, empowering both organisers and fans alike with greater control and transparency over ticketing transactions." Discover more here 👇 https://lnkd.in/disfR97N

The entertainment industry is a complex world, and ticket pricing is often a hot topic of conversation. As someone who has worked at Ticketmaster, I can tell you that despite popular belief, Ticketmaster has the least influence over ticket prices. They simply provide a service. If you're curious about how ticket prices are actually derived, including the service fees, check out the comprehensive article linked below. It's time to uncover the truth about entertainment ticket prices once and for all. https://lnkd.in/g2ZtjNsg

The recent lawsuit involving Live Nation and Ticketmaster has captured widespread attention. Here’s a breakdown of the key issues at the heart of this landmark case: ⚖️ Antitrust Concerns: The lawsuit claims that Live Nation and Ticketmaster's practices may be limiting competition within the industry. The allegations include exclusive agreements with venues and strategies that could influence pricing and market control. ⚖️ Market Dominance: Since merging in 2010, Live Nation and Ticketmaster have held a substantial portion of the market in ticketing and live events market. Current legal scrutiny explores whether this market position could lead to potential abuses of power and what it means for industry standards. ⚖️ Impact on Stakeholders: The case raises questions about how business practices affect consumers and artists. Issues such as ticket pricing, availability and market fairness are under examination, reflecting the wider implications for the entertainment sector. ⚖️ Regulatory Response: The outcome of this lawsuit may influence future regulatory measures. Depending on the findings, there could be calls for more stringent oversight or new guidelines to ensure competitive fairness. ⚖️ Future of Ticketing: The verdict may lead to changes in ticket sales and distribution processes. Potential outcomes include increased pricing transparency, structural changes within dominant firms and enhanced competitive opportunities for emerging entities. As this case unfolds, it remains a pivotal moment for the live entertainment industry, highlighting crucial discussions about competition and fairness. #LiveEntertainment #MarketFairness #RegulatoryScrutiny

The latest in a series of aggressive #antitrust enforcement efforts by DOJ to combat anticompetitive practices. Excellent blog post related to the #Ticketmaster #LiveNation lawsuit by my colleagues Xan Wolstenholme-Britt and John McKnight. Thanks to Danya R. for leading the ongoing discussions on this matter.

🤔 As most know, Live Nation is one of the largest entertainment companies in the world, with a significant presence in the live music industry. In 2010, Live Nation merged with Ticketmaster, creating a dominant force in the ticketing and live events industry. Since then, the company has faced allegations of anti-competitive practices and has been the subject of multiple investigations and lawsuits. ⏰ One of the main concerns raised by critics is that Live Nation's dual role as a venue owner/operator and ticket seller/promoter creates a conflict of interest and limits competition. The company has been accused of using its market power to secure exclusive deals with venues and artists and to block competitors from entering the market. ⚖ The Taylor Swift ticketing fiasco in 2020 further intensified scrutiny on Live Nation and Ticketmaster. Swift criticized the companies for using controversial ticketing practices, which allegedly allowed scalpers to profit at the expense of fans. This led to a wave of lawsuits and calls for a formal investigation into the merger. 🔎The Department of Justice (DOJ) has been actively investigating Live Nation and Ticketmaster over the past few years. The focus of the investigation is to determine whether the companies engage in anti-competitive agreements with venues and artists. The DOJ has sent document retention letters to talent agencies involved in contracts between artists and promoters, seeking information on any restrictions in the deals offered by Live Nation. 💔 While Live Nation has downplayed the scale of the investigation, critics argue that the company's dominant position in the industry stifles competition and results in higher fees for consumers. Some industry insiders and lawmakers have called for the breakup of Live Nation and Ticketmaster to restore competition in the ticketing and live events industry.   📒 It is important to note that while investigations are ongoing, no formal charges or lawsuits have been filed against Live Nation or Ticketmaster at this time. The outcome of the DOJ's probe and the potential implications for the company's business practices remain uncertain.  📎Read more at Ticket News below ⤵ 🛡 In these uncertain times - TicketMint provides the #framework needed to solve the #painpoints in today’s #ticketing #industry; by offering #transparent #pricing, #promoting #fair #competition, adhering to #ethical #businesspractices, implementing #secure #datamanagement, and prioritizing a #consumercentric approach.   🤙 Contact us at TicketMint to learn how to add a layer of assurance to your next event. #consumerprotection #bureauofconsumerprotection #entertainmentindustry #venues #artists #promoters #legislators #regulators #DOJ #decisionmakers #blockchaintechnology #ticketingsystem #ticketing #solution - SmartLedger - The World's Leading Blockchain Distribution Channel & 4chain studio