Live Nation ticketing worker regrets calling customers stupid, he says at antitrust trial
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3:22 PM on Tuesday, March 17
By LARRY NEUMEISTER
NEW YORK (AP) — A Live Nation Entertainment ticketing employee testified Tuesday at the company's antitrust trial that his private instant messages were “very immature and unacceptable” several years ago when he told a coworker some customers were “so stupid” and boasted of “robbing them blind, baby."
Benjamin Baker, head of ticketing for Venue Nation, which includes the company's amphitheaters, became a key witness in claims over 30 states are pressing against the concert promotion and ticketing giant after a Manhattan federal judge rejected Live Nation's efforts to exclude his messages from the trial.
The Justice Department reached a settlement with Live Nation last week to open up some ticketing and promotional markets to more competition. Federal government lawyers insist the settlement will reduce ticket prices.
All but six of 39 states and the District of Columbia that joined the federal government's lawsuit remain in the case. Many states insist the Justice Department fell far short of a goal of destroying a monopoly and forcing the breakup of Live Nation.
Jeffrey Kessler, a lawyer for the states, tried to use Baker's communications to support arguments that Live Nation and its ticketing arm, Ticketmaster, were squelching competition and driving up prices for fans by assuming the behavioral patterns and arrogance of monopolists.
Live Nation has insisted that is not so, eliciting testimony from some executives to portray the company as battling aggressively but fairly with competitors in a high-risk, low-margin business where profits can fade quickly as they meet the demands of performers and venues that control the real power levers.
Kessler, his voice loud at times, confronted Baker with what he wrote to a fellow employee in early 2022 as they discussed Live Nation’s price for access to the VIP area of a show at the MidFlorida Credit Union Amphitheatre in Tampa.
Baker wrote that the prices are “outrageous,” that “these people are so stupid” and that “I almost feel bad taking advantage of them” before writing, “BAHAHAHAHAHA.”
Baker repeatedly expressed disappointment and regret at the messages he shared on Slack, the private messaging system his company uses. He said he was conveying surprise to a coworker about prices customers were willing to pay for amenities like lawn chairs, prime parking spots and access to VIP areas.
After Kessler read aloud Baker’s message that he almost felt bad taking advantage of the ticket-buying fans, Baker became emotional and his voice briefly broke and went soft as he explained: “I used very immature and regrettable language and that was not the language I was trying to convey.”
Confronted repeatedly, Baker was apologetic and said he had no excuse, but Kessler pushed back.
“You could have charged $25!” Kessler snapped after Baker said his “poor immature language” was merely “conveying my surprise that the market dictated fans were willing to pay $50 to park closer.”
Baker explained that he and his fellow employee were only talking about “optional” expenses that no ticketholder had to purchase. Kessler responded that for Live Nation, it was “also optional not to exploit every single dollar it can extract from these fans.”
Kessler's comment drew a swift objection that Judge Arun Subramanian sustained.
Later, when Baker explained a rise in revenues from the sale of amenity services, Kessler read Baker's troubled words back to him, saying: “What you were really doing was ‘robbing them blind, baby.’”
Baker, who has been promoted twice since the private chat, tried to shield his company from harm, saying his conversation with his coworker was “speaking for myself, not Live Nation as a whole.”
Kessler noted the comments were made as fans desperate to see concerts emerged from the coronavirus pandemic.
When Kessler asked Baker if he'd been demoted or lost pay from his company, he responded: “No sir, not at this time.”
Given a chance to question Baker, a Live Nation lawyer declined.
Last week, Live Nation tried to get the statements banned from the trial, saying they reflected “off-the-cuff banter, not policy” from two employees who are personal friends.
It also said that because the conversation was through private messages, company executives only learned of it this month and “will be looking into the matter promptly.”