FTC Investigates Ticketmaster's Bot-Blocking Efforts Amid Resale Scandal

FTC Probes Ticketmaster's Efforts to Stop Resale Bots The Federal Trade Commission (FTC) is investigating whether Ticketmaster is doing enough to prevent bots from illegally reselling tickets on its platform, with a decision expected within weeks. According to Bloomberg, the probe centers around allegations that Ticketmaster has a financial incentive to allow resellers to circumvent its ticket limit rules. As part of the investigation, FTC investigators are assessing whether Ticketmaster's business model encourages or allows resellers to use bots and other methods to bypass ticket purchase limits set by online sellers. This practice is prohibited under the 2016 law aimed at preventing ticket price gouging and ensuring fair access to events for consumers. Ticketmaster's parent company, Live Nation, could face significant penalties if found liable. The law permits fines of up to $53,000 per violation, which could translate into billions of dollars in penalties if a case is pursued and the company loses. "We are committed to providing a safe and fair ticket-buying experience for our customers," said a Ticketmaster spokesperson, who declined to comment further on the investigation. "We will continue to work with the FTC to ensure compliance with all applicable laws and regulations." The probe highlights the ongoing struggle between event organizers, ticket sellers, and consumers in preventing ticket price gouging and ensuring fair access to events. Bots and other automated systems have become increasingly sophisticated, allowing resellers to quickly snap up tickets before they go on sale to the general public. Ticket resale bots use complex algorithms to rapidly purchase large quantities of tickets, often using multiple accounts or credit cards. This can lead to ticket price inflation, as resellers sell tickets at inflated prices, making it difficult for consumers to access events at face value. The FTC's investigation is part of a broader effort to regulate the ticketing industry and protect consumers from unfair practices. The agency has previously taken action against companies that use bots or engage in other deceptive practices. A settlement between Ticketmaster and the FTC is possible, but if the case proceeds, it could have significant implications for the live events industry. "This investigation sends a clear message to the ticketing industry: we will not tolerate unfair and deceptive practices," said an FTC spokesperson. "We are committed to protecting consumers and ensuring fair access to events." The outcome of the investigation is expected within weeks, with potential consequences for Ticketmaster's business model and the broader live events industry. *Reporting by Yro.*