DOJ expected to file antitrust lawsuit against Ticketmaster owner Live Nation: reports
Live Nation’s stock dropped more than 7% in after-hours trading on Wednesday following reports of the looming suit, according to Forbes.
(NEXSTAR) -- The Justice Department is expected to file an antitrust lawsuit against Live Nation, the parent company of Ticketmaster, according to multiple reports from Bloomberg, The New York Times and CNN.
The outlets, citing sources familiar with the matter, said the suit could be filed as soon as this Thursday in the Southern District of New York.
Live Nation’s stock dropped more than 7% in after-hours trading on Wednesday following reports of the looming suit, according to Forbes.
In April, the Wall Street Journal also reported that the Justice Department was preparing to take legal action against the concert and ticketing giant within the coming weeks.
Live Nation and Ticketmaster have faced widespread public scrutiny for its dominance in the ticketing industry, which critics say has allowed them to raise prices on live entertainment.
Ticketmaster has also garnered national attention after its meltdown during singer Taylor Swift’s online presale, which prevented thousands of her fans from purchasing tickets for her “Eras Tour” in 2022. Since then, lawmakers have raised questions about Ticketmaster’s parent company, Live Nation, and whether it has engaged in anticompetitive practices.
The merger between concert promoter Live Nation and Ticketmaster was approved in 2010 by the Justice Department following an antitrust investigation. Live Nation has maintained that there is plenty of competition in the ticketing industry despite the concerns raised by lawmakers.
Live Nation’s head of Corporate Affairs, Dan Wall, has pushed back on accusations that Ticketmaster and Live Nation are responsible for high ticket prices. He wrote in a blog post earlier this year that ticket prices are determined by artists and their teams and that additional service charges are determined by the venues. He noted that high ticket prices can also be attributed to supply and demand for live entertainment.
The Hill's Lauren Sforza contributed to this report.