The music industry Titan Live Nation – and its subsidiary Ticketmaster – are faced with the anger of the Federal Trade Commission (FTC), the government agency and seven states taking legal action alleging that the company is committed to the resale of “illegal” tickets.
The deposit accuses the company of not limiting large -scale ticket resale operations, automatic robots and purchasing limits, “tacitly working” with scalpers for “illegally” tickets for a profit. Music fans have complained about this problem for years, but it is only the tip of an iceberg, hiding an underground economy of individual scalpors, networks of resellers and pirates.
The FTC claims that Ticketmaster – which has been accused of having held a monopoly on digital ticket markets through its Live Parent nation – “tripled” its profits by collecting broker costs on the primary market, brokers on the secondary market and concert lovers, CNBC reported. The complaint calculates that consumers paid around $ 16 billion in fees due to this system and violated the 2016 law for online tickets (BOTS) 2016.
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“A senior executive of ticketmaster admitted to an internal email which copied the management of nation live, that companies” turn their eyes in the event of a policy “for violations of the limits of displayed tickets,” the FTC wrote in a press release. “For example, an internal journal has shown that only five brokers checked 6,345 Ticketmaster accounts and had 246,407 concert tickets at 2,594 events.” Ticketmaster uses a system for brokers, Tradedesk, which should monitor buyers of high volume tickets and be able to follow those which exceed the purchasing limits and have many accounts.
In addition, the FTC affirms that the company was falsely advertising the costs of the tickets by listing the lower prices in total after the costs and the increases, a violation of the FTC Act.
During the past year, Live Nation has been closely examined by entertainment leaders and federal regulators, including an anti-trust survey of the US justice ministry in 2024. Celebrities also destroyed the company, notably Taylor Swift, because fans have treated prices for fluctuating tickets (known as “dynamic prices”), excessively long queues and Programmed by networks to compete quickly. An invoice from the minnesota regulating online ticket sales and the ban on robots have come into force earlier this year.
