What Antitrust? Ticketmaster-Live Nation merger gets Justice Department's approval

By Dawn C. Chmielewski, Ben Fritz and Randy Lewis
January 26, 2010


Giving its blessing to a deal that could transform the music industry, the Justice Department on Monday approved the controversial merger of the nation's dominant ticket seller and the world's largest concert promoter -- but only after extracting major concessions to address concerns that Ticketmaster and Live Nation would have a stranglehold on ticket sales.

The merger, which was the first major review for Obama administration antitrust regulators, will create a goliath with hands in every pocket of the music business. The newly formed Live Nation Entertainment would have the ability to book concerts, sell tickets and merchandise, and manage artists all under one roof.

But for the $889-million deal to proceed, the two companies agreed to the unusual step of creating a pair of rivals to ensure a competitive market for ticket sales, which has been one of the few bright spots for the ailing music industry.

"This goes beyond what is normally provided for in a settlement by creating two additional competitors who can go up against the behemoth," said Matt Cantor, a law partner at Constantine Cannon who specializes in antitrust issues.

http://www.chicagotribune.com/business/la-fi-ct-ticketmaster26-2010jan26,0,856730.story

I guess I am just getting too cynical, but I just don't have much faith in this "manufactured competition". What's wrong with the present level of competition prior to this megamerger?

Oh wait........

"merger" anyway. Ticketmaster and Live Nation were working with each other for years. I can't remember the last time I was able to buy tickets and see multiple sources offering them. All this will do is allow the ticket brokers aka scumbag scalpers to only need to bookmark one site for their preferred access to popular tickets.

Instead of allowing these companies to formalize their chummy agreements they should break them up into multiple smaller companies.

most normal people. Soon, the only ones able to afford tickets will be businesses who write off the cost (which means you and I pay for it).

When I was in grad school and my wife & I had a combined income of $6,000, we could more easily afford tickets than today. Can afford to go to maybe one concert a year, and no sports.

How the hell do young people afford these prices?

I started going to concerts about 1980, and I remember thinking 10 bucks for a concert was ridiculous. Many were more like 5 or 6 dollars/tkt, and this was for major rock groups at arenas.

after all the "fees" ticketmaster adds on. Can't some other company do it for much cheaper? Where's the competition?

...the ability to manufacture nylon to companies like Monsanto (worked for their chem division which made nylon long ago), so the concept is not all that new. The nylon stuff happened in the 40's or 50's.

The companies are going to "create" competitors to compete against themselves? That's the stupidest thing I've ever heard. If they own the competitors then they'll all just agree to sell the tickets for a higher price together.

This is a crock of sh*t and another slap in the face to music fans.