SeatGeek's negotiations to become the primary ticketer for the Dallas Cowboys were nearly derailed by the team's fear that Live Nation, Ticketmaster's parent company, would retaliate by pulling concerts from the stadium. This "concert issue" reflects a central theme in the antitrust trial against Live Nation-Ticketmaster, where witnesses allege venues fear switching ticketing providers due to potential retaliation, stifling competition.
To secure the Cowboys deal, SeatGeek created "retaliation insurance," promising to compensate the venue if Live Nation withheld concerts. While this controversial tactic succeeded with the Cowboys, other venues, like the Minnesota Wild's arena, reportedly faced direct threats from Live Nation that made switching impossible despite the insurance offer.
The trial highlights allegations that Live Nation-Ticketmaster uses its control over concert promotions to maintain its ticketing dominance, though the company denies these retaliation claims. A settlement in the case appears imminent, which may lead to industry changes.
Main Topics: Live Nation-Ticketmaster antitrust trial; allegations of retaliatory practices against venues; SeatGeek's "retaliation insurance" strategy; impact on competition in the ticketing industry.