Who’s paying for this?

9 Jul

From TicketNews: “DOJ recommends Ticketmaster/LiveNation merger receive final approval”

“Having weighed written testimony from several industry professionals but ultimately deciding their arguments were unpersuasive, the U.S. Department of Justice (DOJ) this week submitted its last report to the court recommending the merger of Ticketmaster and Live Nation receive final approval.
The move was not entirely unexpected, considering the DOJ spent months negotiating a deal with the two companies in an attempt to make the merger more palatable to consumers, promoters, venues, artists, brokers and others who often fiercely complained of the partnership.
Ultimately, those complaints, including accusations that Live Nation Entertainment – as it is now called – would have an unstoppable monopoly, were brushed aside by attorneys for the DOJ, who believe the conditions they imposed on the merger will adequately address those concerns. The DOJ’s filing goes before U.S. District Court Judge Rosemary M. Collyer for the final approval, but a time frame for when her decision will be rendered is not known. Live Nation Entertainment has been operating as a single entity since late January of this year.”

This is another blow for music fans and consumers, since the merger gives this giant company control over both ticketing and booking for most of the nation’s biggest live music venues. Ticketmaster has more than 80% market share; LiveNation’s ticketing platform controls another 15 percent or so. The conditions the government has imposed on the merger seem pretty weak, and creating a pair of rivals to ensure competition in the market for ticket sales is basically admitting that the new behemoth entertainment company will be too big to operate fairly.

One Response to “Who’s paying for this?”

  1. Steve Blackman July 12, 2010 at 4:07 pm #

    Update: The Sun-Times’ Jim DeRogatis blogged about this and its impact on Chicago’s once-thriving independent music promoters back in January. Read his post here: http://blogs.suntimes.com/music/2010/01/looking_closer_at_the_ticketma.html

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