COMPETITION / ANTI-TRUST
Live events sector
Online concert-ticket retailer Songkick has accused Ticketmaster and its parent company, Live Nation, of engaging in anti-competitive behaviour by pressuring touring artists and concert venues to not work with Songkick’s service. New York-based Songkick has filed Law suit in THE U.S. District Court in Los Angeles, saying that Live Nation is in violation of federal antitrust laws, marking the latest legal challenge to the Beverly Hills-based company. In the complaint, Songkick says Ticketmaster and Live Nation have “attempted to destroy competition in the artist presale ticketing services market.” Songkick says Ticketmaster has used its clout in the ticketing industry to try to force the company to pay service fees for pre-sales, and intimidated concert venues to not work with Songkick and other rival ticketing services. The complaint also says that artists have also come under pressure: the company says a “global superstar,” whose name was not revealed, was denied marketing from Ticketmaster because the musician used Songkick for pre-sales.
The company is seeking unspecified damages, including punitive damages and attorneys fees.
Songkick says it has worked with artists including Kenny Chesney, Metallica and Mumford & Sons. Just last week, Songkick said it sold 230,000 tickets for the British singer Adele’s tour. Last week Songkick raised $10 million in funding from Access Industries, the owner of the Warner Music Group, to grow its business. Songkick merged with the ticketing startup CrowdSurge in June.
Live Nation, the world’s biggest concert promoter, bought Ticketmaster in 2010, despite complaints from rivals and consumer about competition issues,