Ticketmaster is already putting together what is expected to be a fierce resistance campaign against legislation introduced this month in California. AB2808 seeks to crack down on the Live Nation/Ticketmaster dominance of the event and ticketing markets – which many argue is monopolistic – by requiring event tickets to be available for purchase through multiple endpoints at both the primary sale and on secondary sales.
Such legislation would potentially shatter the business model favored in modern concert and sports ticketing, which involves lengthy and exclusive ticketing contracts between venues and ticketing providers like Ticketmaster and AXS. Naturally, they wasted zero time coming out against the legislation, somehow claiming that better competition would benefit “scalpers” – a well-worn defense that the company has trotted out multiple times in attempt to deflect any and all criticism of its business practices and market dominance.
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“We support reforms to improve ticketing, but AB 2808 will not do that,” Ticketmaster says in a statement released this week. “It will instead undermine the efforts of artists, sports teams and primary ticketing companies to minimize ticket scalping. Forcing artists and venues to hand over their intellectual property and tickets to secondary sites is a ticket scalper’s dream. AB2808 empowers ticket resellers by blocking any and all price control tools artists can employ, including the use of face value exchanges.”
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AB2808, introduced in the California legislature by Assemblymember Buffy Wicks, a Bay Area Democrat, has the support of the Consumer Federation of California, the California Black Chamber of Commerce, California LULAC, the National Action Network and other consumer advocacy groups. It is expected to be heard by the state’s Assembly Arts, Entertainment, Sports, and Tourism Committee later this spring.
Wicks and supporting organizations held a press conference on Monday to highlight the proposed legislation, which would force industry change require ticketing companies to allow other vendors the ability to integrate via API interface to list and sell both primary and secondary tickets. It would also make it unlawful for ticketing companies or venues to restrict the transfer or resale of tickets, or deny access to those who purchased tickets through resale marketplaces.
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“At the end of the day, it’s pretty fundamental. It’s a basic premise of capitalism. When you have more competition, you have a better product,” she said.
Speaking in Sacramento, Wicks was joined by Consumer Federation of California Executive Director Robert Herrell; California Black Chamber of Commerce President and musician Jay King: California LULAC Immediate Past State Director Jose Barrera; and National Action Network – Sacramento President Dr. Tecoy Porter.
“The Consumer Federation of California supports AB 2808 because it strikes at the heart of the monopoly dominating our current ticketing and live entertainment marketplace – a monopoly that limits consumer choice, increases consumer prices and controls consumer decisions about your tickets,” Herrell stated. “AB 2808 injects desperately needed choice into the marketplace and the Legislature should pass it and put California back at the top of consumer protection.”
