On Jan 24th there was a meeting held by the Senate Judiciary where the CFO of LiveNation was called to testify about possible monopolistic practices by the merged companies. According to some of the testimonies venues that work with LiveNation are obligated (whether explicitly or implicitly) to sell their tickets through TicketMaster. If a venue chooses not to use TicketMaster then the shows booked at the venue through LiveNation will decrease or become nonexistent (testimony).The hearing is on CBS’s YouTube and is around 3 hours long. Mr. Jerry Mickelson (CEO of Jam Productions) testimony begins at 32 min mark and lays down the extent of the situation pretty well in a few minutes.I thought this hearing was really interesting and I will continue to follow what is going on. I am just wondering if anyone else has watched the hearing or heard about what this? Also, just wondering what people’s opinions are of this and if they think that LiveNation and TicketMaster may be broken up.https://www.youtube.com/watch?v=F0z-vz1O2LwJerry Mickelson 1:06:59 LiveNation intimidating venueshttps://www.judiciary.senate.gov/imo/media/doc/Testimony%20-%20Mickelson%202023-01-24.pdfNBA, NHL & NFL Exclusive Ticketing Contracts At Arenas & StadiumsTicketmaster has exclusive ticketing agreements with professional sports teams and leagues in arenas and stadiums.● 87% of the NBA teams have exclusive agreements with Ticketmaster in arenas across North America. Out of 30 basketball teams, Ticketmaster provides the tickets for 26, AXS has 3 & SeatGeek has 1. (Exhibit B)● 87.5% of the NHL teams have exclusive ticketing agreements with Ticketmaster. Out of 32 hockey teams, Ticketmaster provides the tickets for 28, AXS has 2, Pacioloan has 1 & tickets.com has 1. (Exhibit C)● 93% of the NFL teams have exclusive ticketing agreements with Ticketmaster. Out of 32 football teams, Ticketmaster provides tickets for 30 & SeatGeek provides tickets for 2. (Exhibit D)2022 Concert Tour Ticketing AnalysisExhibit B provides an analysis of the largest concert tours in 2022 that illustrates the ticketing monopoly which Ticketmaster has been able to achieve.● 1st page lists Billboard’s Top 40 Tours in 2022. (Exhibit E)● 87% of Billboard’s Top 40 Tours in 2022 were ticketed by Ticketmaster in theU.S. (Exhibit F)● 87% of Billboard 2022 Top 40 Tours were performed at venues that were ticketed by Ticketmaster in the U.S. (Exhibit G)● 89% of all shows in Billboard’s 2022 Top 25 Stadiums were ticketed by Ticketmaster in the U.S. (Exhibit H)Live Nation VenuesLive Nation continues to increase the number of venues it controls. Their strategy is to deliver more shows, grow their fan base, and increase ticket sales by continuing to build out their portfolio of venues, expanding their business into additional music markets, and further building their presence in existing markets.In 2012 Live Nation owned, operated, had exclusive booking rights, or had an equity interest in 139 venues. By the end of 2021, that number increased to 320 venues. (Exhibit I)● 19 additional Amphitheatres (from 49 to 68)● 10 additional Arenas (from 11 to 21)● 61 additional Theatres (from 43 to 104)● 41 additional Clubs less than 1,000 (from 16 to 57)● 3 additional Music Halls 1,000 to 2,000 (from 12 to 15)● 35 additional Festival Sites (from 4 to 39)● 15 Other Venues (from 0 to 15)A further analysis reveals how Live Nation is going to deliver more shows.● With its 68 amphitheaters, Live Nation has no competition during the summermonths in its outdoor venues with capacities between 5,000 to 30,000 where, at times, they pay an artist in excess of 100% of the gross ticket sales.o At times, Live Nation has leveraged its outdoor amphitheaters in order to procure North American indoor arena tours.● The 39 festival sites make Live Nation the largest and most dominant festival producer with its portfolio that includes Lollapalooza, Bonnaroo, Bottlerock, Governor’s Ball, Austin City Limits, and Boston Calling to name just some of their festival brands.● Adding 61 theatres and an additional 41 clubs over the past 11 years (with more in development) is an eye-opening warning to every independent promoter whose business model relies on these 2 segments of the concert industry.Edit: Links
