8 states, including California and New York, sue to block $6.2B Nexstar-Tegna merger California, New York, and six other states filed a lawsuit late Wednesday to block Nexstar’s proposed $6.2 billion acquisition of Tegna, arguing the merger violates federal antitrust laws. The states claim the deal would reduce competition in the broadcast media industry and harm local journalism by consolidating control over a significant portion of U.S. television stations. California Attorney General Rob Bonta and New York Attorney General Letitia James led the legal effort, joined by attorneys general from Colorado, Illinois, Oregon, North Carolina, Connecticut, and Virginia. The lawsuit was filed in the U.S. District Court for the Eastern District of California and cites Section 7 of the Clayton Antitrust Act, which prohibits mergers that “substantially lessen competition.” Bonta’s office argues the deal would weaken competition in the Sacramento and San Diego media markets, while James’ office highlights concerns about consolidation in the Buffalo area. Nexstar and Tegna have not yet responded to requests for comment on the lawsuit. The merger would create a combined entity reaching nearly 60% of U.S. households, surpassing the current federal rule that limits a single company to 39% market share. Federal Communications Commission Chair Brendan Carr has publicly supported the deal, stating, “Let’s get it done,” but the FCC has not announced plans to vote on revising the ownership cap. The agency declined to comment on the matter. The lawsuit also draws attention to broader antitrust concerns in the media industry. Recently, over two dozen state attorneys general, including both Republicans and Democrats, filed a motion for a mistrial in a federal case targeting Live Nation and Ticketmaster.#california #new_york #letitia_james #rob_bonta #clayton_antitrust_act
Live Nation settles antitrust case with DOJ, avoids Ticketmaster breakup Live Nation, the parent company of Ticketmaster, has reached a settlement with the U.S. Department of Justice, avoiding a potential breakup of the company. The agreement, announced on Monday, concludes a high-profile antitrust case that had threatened to split the world’s largest live entertainment firm. The deal comes after a week of testimony during the trial, which had raised concerns about Live Nation’s dominance in the industry. The settlement includes several key provisions. Ticketmaster will provide a standalone ticketing system that allows third-party companies like Seat Geek and StubHub to offer primary tickets through the platform. A senior justice official described this as “open sourcing” their ticketing model. The company will also divest up to 13 amphitheaters and reserve 50% of tickets for non-exclusive venues. Additionally, Ticketmaster is prohibited from retaliating against venues that choose alternative primary ticket distributors. The agreement was reached after negotiations between Omeed Assefi, the acting assistant attorney general for the Antitrust Division, and Michael Rapino, Live Nation’s CEO, on March 5. A senior justice official emphasized that the deal aims to increase competition by giving artists and consumers more choices, potentially lowering prices. While the DOJ and 40 states, including Washington, D.C., had previously accused Live Nation of using its control over venues and ticketing relationships to stifle competition, the settlement allows the company to retain its structure. New York Attorney General Letitia James, who joined the DOJ in the case, stated that her office will continue pursuing its own claims against Live Nation to protect consumers and restore fair competition.#ticketmaster #taylor_swift #live_nation #us_department_of_justice #letitia_james
