The Wall Street Journal is reporting that Ticketmaster and Live Nation are close to a merger that would bring the United States’ two largest concert-promotion/ticket-sales companies under one roof. Um, I guess the whole Phish tickets onsale was more of a disaster than previously thought!
The newly created company would be called Live Nation Ticketmaster, and would combine the world’s biggest concert promoter with the world’s dominant ticketing and artist-management company. The combined firm would be able to take advantage of close relationships with hundreds of major artists to find new ways to do business in the ailing music industry.
The boards of both companies have yet to approve any merger, these people said, and sticking points remain. One potential hitch: Because the merger would concentrate so much power in the music industry under one company it would require review by antitrust authorities. Nonetheless, the deal, which would not entail an exchange of cash, could be announced as early as next week.
Spokesmen for Live Nation and Ticketmaster did not respond to requests for comment.
The new company would have close ties with over 200 artists, thanks to Ticketmaster’s acquisition last year of Front Line Management, a firm whose dozens of artist managers handle the affairs of around 200 major acts, including The Eagles, Miley Cyrus and Christina Aguilera. That transaction vaulted Front Line’s veteran chief executive, Irving Azoff, to the helm of Ticketmaster.
Live Nation brings to the table close ties of its own to several major artists, including Madonna and Jay-Z, both of whom have signed far-reaching pacts that pay them hundreds of millions of dollars for a broad range of rights.
So this is one of those path-clearing moves that allows lots of smaller organisms (which the people geared toward norms would refer to as ‘weeds,’ but which I know too better to do so with) to grow and maybe thrive, right? Anyone want to start their countdown clock to the real end of the Major Big Huge Music Industry As We Know It yet?
So gargantuan monopolies (that’s redundant, I know) are okay in the new economy?
I don’t see how this could be good for music at all since front line controls so many acts. That’s where the real power is at.
If these acts (and you know they will be) are forced to go only with this new company. Any local or regional promoters will be simply crushed.
I’m going to be honest with you: I kinda thought they already were one large company.
Oh, great Ticketmaster is already screwing me in charges, now they’re really going to go to town. I had to pay an extra $14.00 on one single online ticket purchase last week.
So if you’re a big artist and wanna play in big (Live Nation-owned) stadiums, you’ll also have to use (Live Nation-owned) Ticketmaster, who will rape your fans with surcharges…
You’ll also have to consider leaving your manger and joining up with (Live Nation-owned) Front Line Management just to get the opportunity…
Hmmm…
monopoly man is right! with his funny stache! go stach, go!
@owenmeany: This is why MY band is totally indie, man. We’ve rejected all of this corporate hegemony.
Also, nobody likes us.
This is simply awful news.
Bad news, but how is this really changing from previous years? Live Nation venues (up until recently) have always used Ticketmaster.
@dyfl: Ha, I did too.
@JZ13: “too big to fail”