DOJ planning to sue Live Nation and Ticketmaster for antitrust violations

According to the Wall Street Journal, the U.S. Department of Justice is reportedly preparing to sue Live Nation Entertainment, the parent company of Ticketmaster, for allegedly violating antitrust laws by using its dominant market position to suppress competition in the live events sector. In premarket trading on Tuesday, shares of Live Nation fell 7%. This lawsuit was prompted after public and legislative scrutiny over Ticketmaster’s handling of ticket sales, particularly highlighted by the chaotic sale of tickets for Taylor Swift’s “Eras” tour.

Live Nation’s executives have defended their practices, claiming limited control over ticket pricing and fees, and stressing that they only directly control a small fraction of U.S. venues. Shares of Live Nation dropped nearly 7% following these reports. The lawsuit could significantly impact the ticketing and live entertainment industry, challenging the company’s practices and potentially reshaping market dynamics.