Live Nation's CFO Joe Berchtold has responded to reports of an intensifying Department of Justice (DoJ) antitrust investigation, stating there is "no real news" regarding the probe's status.

The DoJ investigation, which began in November 2022 following the Taylor Swift Eras Tour pre-sale issues, is reportedly examining:

• Live Nation's contractual terms with artists
• Potential restrictions on venues working with other promoters
• The company's pricing and fee structure
• Artist payment practices

A Wall Street Journal report indicates the DoJ has recently:

• Requested information from promoters and venues about market competition
• Sent document retention letters to talent agencies
• Focused on Live Nation's 2020 artist payment modifications

Live Nation's Q3 2023 performance showed record results:

• Total revenue: $8.15 billion
• Concert revenue: $6.97 billion (32% increase)
• Ticketing revenue: $832.6 million (57% increase)

Berchtold addressed the investigation during the earnings call, stating:

• The DoJ is conducting routine examinations of competitor complaints
• The investigation focuses on specific practices rather than the overall business model
• Document retention letters are standard procedure
• The investigation is in its "mid-stages" with document production ongoing
• No depositions have begun

A Live Nation spokesperson emphasized that artist payments are based on competitive bidding, defending the company's practice of offering competitive compensation to performers.

Related Articles

Previous Articles