Ticketmaster, the largest online ticket vendor worldwide, has pledged to take action against large-scale scalpers who utilize hundreds, or even thousands, of fake Ticketmaster accounts to purchase and resell tickets for various events such as concerts, theater shows, and sports games. This initiative follows a lawsuit filed by the U.S. Federal Trade Commission accusing Ticketmaster and its parent company, LiveNation, of engaging in unlawful ticket resale practices and misleading both consumers and artists regarding ticket prices and purchase limits.
The disclosure was made in a letter to U.S. lawmakers and was initially reported by Billboard, a prominent American music and entertainment publication. Over the years, fans have expressed frustration when attempting to purchase tickets directly from Ticketmaster, only to find that scalpers and resellers quickly acquire most of the tickets for popular events, subsequently selling them at inflated prices on secondary websites.
The FTC’s legal action is partly based on findings from a 2018 investigative report by CBC News and the Toronto Star, which exposed Ticketmaster’s collaboration with mass scalpers who utilized fake accounts to bypass ticket purchase restrictions.
In response to the lawsuit, Ticketmaster has defended its position, asserting that the practice of ticket brokers maintaining multiple accounts has become commonplace in the industry. The company plans to contest the allegations in court while acknowledging the need to address the issue of brokers using fake identities and automated tools to manage numerous ticket-buying accounts.
As of October 17, Ticketmaster has committed to restricting all users, including brokers, to a single account and implementing advanced AI technology to detect fraudulent activities. Additionally, Ticketmaster announced the discontinuation of certain features on its TradeDesk platform and indicated a shift towards tighter control over concert ticket reselling.
Despite Ticketmaster’s recent promises to combat scalping practices, the 2018 CBC/Toronto Star investigation revealed Ticketmaster’s historical involvement with scalpers and the company’s willingness to facilitate their operations. Through undercover reporting, it was uncovered that Ticketmaster actively recruited mass scalpers and turned a blind eye to the use of multiple fake accounts for ticket acquisition and resale.
In their correspondence with U.S. lawmakers, Live Nation emphasized the evolving stance of Ticketmaster in response to the legal challenges and public scrutiny, signaling a potential shift in the ticketing industry towards fairer practices and greater transparency.