May 22 (Reuters) - The U.S. Department of Justice and a
group of states will sue Live Nation Entertainment ( LYV ) for
antitrust violations and could seek remedies including breaking
up the company, Bloomberg News reported on Wednesday.
The Justice Department has been investigating
Ticketmaster's domination of concert ticket sales, sources have
previously told Reuters. Bloomberg said the lawsuit is expected
to be filed in the Southern District of New York on Thursday.
The legal action underscores the aggressive approach
President Joe Biden's antitrust enforcers have adopted as they
seek to create more competition in a wide range of industries
from Big Tech to healthcare to groceries.
Live Nation came under fire in 2022 after Ticketmaster
botched the sale of tickets to Taylor Swift's 2023 tour. U.S.
senators in January 2023 slammed Live Nation's lack of
transparency and inability to block bot purchases of tickets, in
a hearing called after the ticket sales fiasco.
In the lawsuit, the DOJ's options range from requiring the
company to stop illegal behavior, a common request, to asking a
court to break it up, which is rare.
The Justice Department approved Ticketmaster's merger with
Live Nation in 2010, a deal that was controversial at the time.
In 2020, a court extended most of its oversight of the
merger to 2025 because, the department said, Ticketmaster
retaliated against stadiums and arenas that opted to use other
ticketing companies.
Live Nation did not immediately respond to a request for
comment but has said in the past that it was confident its
business practices were legal, and that the probe had been
prompted by complaints from rivals, including re-sellers.
Live Nation's shares fell 7% after the bell. The Department
of Justice did not immediately respond to Reuters' request for
comment.