Live Nation Stock Plunges on Call for Its Breakup. That Taylor Swift Mess Looks Costly.

live nation stock plunges on call for its breakup. that taylor swift mess looks costly.

Live Nation Entertainment stock was diving Thursday after the ticketing company was hit with an antitrust lawsuit from the Justice Department.

Live Nation shares were down 5.8% at $95.53.

The Justice Department and a group of states said Thursday they would sue the company, alleging the entertainment giant has used its ticketing monopoly to suppress competition.

“We allege that Live Nation relies on unlawful, anticompetitive conduct to exercise its monopolistic control over the live events industry in the United States at the cost of fans, artists, smaller promoters, and venue operators,” Attorney General Merrick Garland said. “It is time to break up Live Nation.”

Live Nation said in a emailed statement that it would defend itself against the allegations.

“Calling Ticketmaster a monopoly may be a PR win for the DOJ in the short term, but it will lose in court because it ignores the basic economics of live entertainment, such as the fact that the bulk of service fees go to venues, and that competition has steadily eroded Ticketmaster’s market share and profit margin,” the company said.

Ticketmaster has had a series of controversies over allegations of exorbitant ticket fees, flawed customer service, and anticompetitive practices. In 2022 it had to cancel some sales to Taylor Swift fans, citing extraordinarily high ticket demand. Various politicians at the time called for an investigation into the company.

Rock band Pearl Jam unsuccessfully sued Ticketmaster back in 1994, alleging it was price gouging its fans, although the group subsequently made peace with the company.

Among the practices the Justice Department plans to challenge are exclusive ticketing contracts that Ticketmaster has with many of the venues where high-profile acts perform, according to The Wall Street Journal.

Under a consent decree with the Justice Department, the company isn’t allowed to make venues use Ticketmaster for its events, or retaliate if they use another company. The company, however, has received criticism from regulators and lawmakers regarding competition.

Write to Adam Clark at [email protected]

OTHER NEWS

16 minutes ago

How Walmart Stock Can Predict the Next Recession

16 minutes ago

Jokes Pouring In After Ohio State Cancels Non-Conference College Football Game

16 minutes ago

Retail sales slowdown prompts market bets on Fed rate cut timing

16 minutes ago

Deaf Pup Lives His Best Life As Elementary School Therapy Dog

19 minutes ago

CAA Names Elizabeth A. Morrison Global Head Of Inclusion, Recruiting, And Development

20 minutes ago

Stargate SG-1's Co-Creator Has Two Regrets Over The Sci-Fi Series

20 minutes ago

Jayson Tatum unoriginally quoted Kanye West after doing his best post-title Kevin Garnett impression

20 minutes ago

E-scooters to be legal on SA roads within months

20 minutes ago

Raiders projected offensive depth chart heading into camp

20 minutes ago

Thousands of NATO troops join drills in the strategically sensitive Baltic Sea region

20 minutes ago

Tesla must face owners' lawsuit claiming it monopolizes vehicle repairs and parts

24 minutes ago

Club Q shooter who killed 5 people in Colorado Springs pleads guilty to 50 federal hate crimes

25 minutes ago

Fisker files for bankruptcy protection in wave of EV startups, moment of déjà vu for its founder

27 minutes ago

Video: Doctor issues dire bird flu warning saying CDC is 'flying blind', comparing outbreak to 'early days of Covid'

27 minutes ago

Kylian Mbappe's broken nose: Plastic surgeons say star striker may need surgery in coming weeks to avoid permanent changes to his face

28 minutes ago

Plastic surgeon charged in death of wife who went into cardiac arrest while he worked on her

28 minutes ago

Rory McIlroy feels 'resilient' after US Open loss, taking a few weeks away from golf

28 minutes ago

NHS still faces winter crisis this year if Labour is elected, warns Wes Streeting

28 minutes ago

Nigel Farage and Lee Anderson set to win seats in new Ipsos MRP poll

28 minutes ago

Africa Cup of Nations new dates threaten Premier League Christmas schedule

28 minutes ago

Rishi Sunak ‘fighting the wrong campaign’ as he puts his hopes in Boris Johnson

28 minutes ago

Apple ends its buy now, pay later service

28 minutes ago

Mets point to Grimace appearance as starting point for hot streak

28 minutes ago

From relegation to Euro 2024, Germany's Mittelstaedt enjoying his meteoric rise

28 minutes ago

Why Longer Heat Waves Are So Dangerous

28 minutes ago

Prima Facie by Suzie Miller review – Jodie Comer narrates with charisma and firepower

28 minutes ago

Nottingham Forest balancing the books as Sheffield United open talks to sign experienced defender

28 minutes ago

Copa America Power Rankings: Yes, Messi, but don’t sleep on Colombia

28 minutes ago

Sir Ian McKellen's West End show is ALSO cancelled tomorrow

28 minutes ago

2024 MLB draft: Who will Guardians take with No. 1 pick? Two-way SEC player, power hitters, more on the board

28 minutes ago

Ole Miss makes massive change to 2025 college football schedule by cancelling high-profile non-conference matchup

28 minutes ago

Heat and humidity fuels thunderstorm threat in Ontario Tuesday

28 minutes ago

Uber, Khosla, Nvidia invest in $200 million funding round for autonomous trucking startup Waabi

30 minutes ago

Montana canal siphon splits open, flooding area and threatening local farming industry

33 minutes ago

Russia ramps up deportations of Ukrainian children with ‘summer camps’: researchers

33 minutes ago

Fisker files for bankruptcy protection in wave of EV startups, moment of déjà vu for its founder

33 minutes ago

Steve Cohen is set to make a big push into investing in AI

33 minutes ago

Apple has ‘very serious’ non-compliance issues with key EU digital law, Margrethe Vestager says

33 minutes ago

What a Labour-run NHS looks like: One in 20 Welsh patients waiting A YEAR for treatment, new data shows, compared to just 0.5 per cent of those in England

33 minutes ago

Jose Mourinho names the three Euro 2024 stars he will watch with 'sadness'... including two former Premier League favourites