Are Concert-Goers the Losers in Ticketmaster-Live Nation Deal? By Erika Morphy E-Commerce Times 01/26/10 11:41 AM PT Reactions are divided over the prospect of a live-music industry behemoth with the merger of Ticketmaster and Live Nation. The DoJ, which has approved the deal, expects ticket prices to decline. However, the service fees that already have so many concertgoers bristling "will only go up," predicted N. Venkatraman, professor of management at Boston University. The Department of Justice has cleared the path for Live Nation and Ticketmaster to merge -- but with several conditions attached, including significant support to companies that will be formed to provide competition. The two firms, which announced the possibility of a merger a year ago, have agreed to the conditions, setting the stage for the creation of a large, multifaceted, multiservice live music company. Essentially, the combined company will manage artists, arrange for their bookings -- most likely at venues owned by the company -- and then sell tickets to their concerts. The prospect of end-to-end control prompted many in the industry -- from artists such as Bruce Springsteen to advocacy groups like the National Consumers League -- to protest the deal, with fears of higher ticket prices being the main complaint. The Obama administration promised to give the proposed deal a stringent review.
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