In 2009, Live Nation and Ticketmaster, a concert promotion firm and ticketing company, reached an agreement to merge. The new company received regulatory approval and was named Live Nation Entertainment.[3][4] Michael Rapino, then-CEO of Live Nation, became the new company's CEO, while Ticketmaster CEO Irving Azoff was named executive chairman.[5]
The merger was approved first in Norway and Turkey in 2009.[6] The United Kingdom's Competition Commission provisionally ruled against the merger,[7] but reversed its decision on December 22, 2009.[6]
The merger was opposed in the U.S. by some regulators, artists, fans, and competing firms, who argued it would reduce competition in the industry and increase ticket costs.[8][9] Artist Bruce Springsteen was one vocal opponent of the merger at the time.[10]
On January 25, 2010, the United States Justice Department approved the merger pending certain conditions.[11] Ticketmaster had to sell ownership of its self-ticketing company, Paciolan,[11] and license its software to Anschutz Entertainment Group (AEG), which would allow it to compete "head-to-head" with Ticketmaster for business.[12][13] AEG was given the option after five years to buy the software, replace it with something else, or partner with another ticketing company.[12] Additionally, Live Nation Entertainment was placed under a 10-year court order prohibiting it from retaliating against venues that choose to accept competing ticket contracts.[13]
Investments and growth
In 2013, the company acquired the Voodoo Music + Arts Experience and announced a joint venture with Insomniac Events, a promoter focused on electronic dance music.[14][15][16] The company later acquired C3 Presents (2014),[17] Bonnaroo Music and Arts Festival (2015),[18] and Founders Entertainment (2016), the parent company of Governors Ball Music Festival.[19] In October 2016, Live Nation Entertainment bought AC Entertainment, a Knoxville Tennessee music company,[20] as well as several international companies.[21] The company continued to invest in music festivals and promoters in 2017, purchasing a controlling interest in BottleRock Napa Valley Music Festival,[22] Salt Lake City-based concert promoter United Concerts,[23] and CT Touring.[24] In 2017, Live Nation Entertainment reported revenue of $10.3 billion.[25][26] In 2018, the company expanded its concert promotion segment by acquiring a majority stake in a number of companies including Frank Productions,[27] Emporium Presents,[28] and Red Mountain Entertainment.[29]
Also in 2018, the United States Department of Justice launched an investigation following complaints by AEG that Live Nation pressured them into using Ticketmaster and intentionally avoided booking acts for AEG venues.[30] Live Nation stated that decisions in selecting venues were not punitive, and were instead based on size and management.[30]
Live Nation Entertainment has acquired a majority stake in the David Grutman owned Groot Hospitality, a Miami-based company. The portfolio includes LIV nightclub located inside the historic Fontainebleau Hotel, which opened in 2008 as host to the annual Victoria's Secret Fashion Show in 2008. The portfolio includes restaurants and nightlife venues, to include Story (2012), Komodo (2015), Swan & Bar Bevy with Pharrell Williams(2018) and Papi Steak (2019).[31]
In 2020, Live Nation was hit particularly hard by the novel coronavirus pandemic, with essentially all concerts and sporting events around the world on hold. The company has been sued as it has been reluctant to offer full refunds to customers, though it has since amended its refund rules to address those complaints. On February 25, 2021, Live Nation released its full-year 2020 financial results, of which the company saw revenues fall by 84 percent.[32]
The government of Saudi Arabia's sovereign wealth fund has acquired a 5.7 percent stake in Live Nation, the parent company of Ticketmaster.Based on Live Nation's share prices as of 28 April 2020, the investment is valued at just shy of $500 million.[33] The investment is passive, and was purchased on the open market. The Saudi Public Investment Fund is now the company's third-largest shareholder, with John Malone's Liberty Media the largest individual shareholder with a 33 percent stake.[34]
Operating divisions
Live Nation Entertainment's business segments are concerts, ticketing, and sponsorship and advertising.[25] The company promotes and operates live music events and manages artists under its concerts division Live Nation Concerts.[25] Live Nation Entertainment's artist management arm, called Artist Nation, is included within its concerts division[35][25] and also includes Front Line Management and Roc Nation.[36] Live Nation Entertainment owns and operates venues, including the House of Blues.[37] The company sells tickets to live events through Ticketmaster.[25]
International
In 2012, the company announced a partnership with Creativeman Productions, based in Tokyo, Japan.[38]
In June 2013, Live Nation was among those charged with violating Ontario health and safety laws following a stage collapse at a Radiohead concert that killed one crew member.[39][40] A 2019 inquest returned a verdict of accidental death.[41]
In August 2015, Live Nation announced it would form Live Nation Germany, to be created in partnership with German promoter Marek Lieberberg. Live Nation Germany would also have oversight over Live Nation events in Austria and Switzerland.[42]
In March 2016, Live Nation acquired Big Concerts International, South Africa's leading concert promoter.[43] The following year, the company acquired majority interests in Israeli promoter Blue Stone Entertainment and the UK's Cuffe & Taylor.[21]
In May 2018, Live Nation Entertainment acquired a majority stake in Brazil's Rock in Rio festival (including from previous stakeholder SFX Entertainment), with its founder Roberto Medina continuing to manage the festival's operations, and providing consulting to Live Nation.[44][45]