As the music industry continues to grapple with the consequences of corporate consolidation, a recent hearing on consumer protection and competition in live entertainment has shed light on the anticompetitive practices employed by Ticketmaster, the leading ticketing platform. In an unprecedented move, Senator Richard Blumenthal (D-CT) referenced Taylor Swift’s latest hit "Anti-Hero" to urge Ticketmaster to take responsibility for its actions.
A Recipe for Disaster: How Corporate Consolidation Led to Anticompetitive Practices
The hearing was called in response to a series of high-profile incidents, including the chaotic ticketing process for Taylor Swift’s 2022 tour. Fans were left frustrated and confused as they struggled to secure tickets through Ticketmaster’s platform. The platform’s monopoly on ticket sales has allowed it to dictate prices, often resulting in artificially inflated costs that benefit only the company and its shareholders.
The Problem of Bots: How Ticketmaster Failed to Protect Consumers
One of the primary concerns raised during the hearing was the ease with which bots can exploit Ticketmaster’s platform. These automated programs allow scalpers to quickly purchase large quantities of tickets, often selling them at inflated prices on secondary markets. This has led to a culture of ticket speculation, where fans are priced out of attending concerts and other events.
The BOTS Act: A Measure of Inadequate Enforcement
In 2016, the Federal Trade Commission (FTC) passed the Better Online Ticket Sales (BOTS) Act, aimed at preventing ticket bots from purchasing tickets. However, since its enactment, the law has been enforced only once, resulting in a $31 million penalty against three ticket brokers in 2021.
The Path Forward: Holding Live Nation Accountable
As the Department of Justice’s investigation into Live Nation continues, it remains unclear what actions will be taken to address these anticompetitive practices. Some have suggested that Ticketmaster make tickets non-transferable to prevent bot resales, while others argue that such a policy would create more problems than solutions.
A Call to Action: The Need for Reform
The recent hearing has shed light on the urgent need for reform in the ticketing industry. Consumers demand greater transparency and protection from ticketing platforms like Ticketmaster. As the music industry continues to evolve, it is essential that regulatory bodies take a more proactive role in addressing anticompetitive practices and ensuring fair access to tickets for all.
A Timeline of Antitrust Scrutiny
- Mexican regulators are fining Ticketmaster after a Bad Bunny concert fiasco.
- The Department of Justice’s investigation into Live Nation is ongoing.
- Senators grill Ticketmaster executives over anticompetitive practices.
- The BOTS Act has only been enforced once since its enactment in 2016.
A Look Ahead: What’s Next for Ticketmaster and the Ticketing Industry
As regulatory bodies continue to scrutinize Ticketmaster’s practices, one thing is clear: change is on the horizon. With increased pressure from lawmakers, industry leaders, and consumers alike, it remains to be seen whether Ticketmaster will implement meaningful reforms or risk further antitrust action.
A Note from the Reporter
"Amanda Silberling is a senior writer at TechCrunch covering the intersection of technology and culture. She has also written for publications like Polygon, MTV, the Kenyon Review, NPR, and Business Insider."
