NEWS
Ariel Emanuel speaks onstage during Los Angeles LGBT Center's 48th Anniversary Gala Vanguard Awards at The Beverly Hilton Hotel on September 23, 2017 in Beverly Hills, California.
Emma McIntyre/Getty ImagesConcerns about IMG's ownership in a ticketing company that Live Nation had spun off in 2010 led to a Department of Justice request that IMG parent Endeavor's chief executive Ari Emanuel and president Mark Shapiro resign from LN's board of directors, sources tell Billboard.
As part of a consent decree governing Live Nation's merger with Ticketmaster in 2010, the DOJ assistant attorney general for its Antitrust Division Christine Varney required Ticketmaster to sell off Paciolan, a ticketing company it had purchased three years earlier, to Comcast-Spectacor. In 2017, Paciolan was again sold as part of an intra-company transaction to sports marketing platform Learfield IMG College, which Endeavor owns a stake in through its blockbuster purchase of IMG in 2013. Silver Lake and the Comcast-backed Atairos also hold stakes in Learfield with Endeavor.
Emanuel has been on the Live Nation board of directors since 2007 while Shapiro joined the Live Nation board in 2008.
“While there has been no violation of law, we understand and respect the DOJ’s concerns regarding the current similarities of our businesses," a statement from an Endeavor spokesperson reads.
Why the DOJ decided to act now — under the Biden Administration, the DOJ's acting assistant attorney general for Antitrust is career DOJ deputy AG and Distinguished Service Award winner Richard Powers — is unclear. Emanuel had already agreed to resign from the board effective two weeks ago when his final stock awards in the company had vested.
In a release, the DOJ described the ownership issue as an illegal interlocking directorate where "one person – or an agent of one person or company – serves as an officer or director of two companies."
Section 8 of the Clayton Act "prohibits the same person or company from serving as an officer or director of two competing companies, except under certain defined safe harbors."
"Endeavor and Live Nation compete closely in many sports and entertainment markets. Both Live Nation and Endeavor, through its wholly owned and minority owned subsidiaries, promote and sell tickets and VIP packages that include tickets, lodging and travel accommodations, to live music, sporting and other entertainment events," the release explained.
“These resignations ensure that Endeavor and Live Nation will compete independently,” explains Powers in a release. “Executives are not permitted to hold board positions on companies that compete with each other. The division will enforce the antitrust laws to make sure that all companies compete on the merits.”
Why the DOJ decided to act now — under the Biden Administration, the DOJ's acting assistant attorney general for Antitrust is career DOJ deputy AG and Distinguished Service Award winner Richard Powers — is unclear. Emanuel had already agreed to resign from the board effective two weeks ago when his final stock awards in the company had vested.
In a release, the DOJ described the ownership issue as an illegal interlocking directorate where "one person – or an agent of one person or company – serves as an officer or director of two companies."
Section 8 of the Clayton Act "prohibits the same person or company from serving as an officer or director of two competing companies, except under certain defined safe harbors."
"Endeavor and Live Nation compete closely in many sports and entertainment markets. Both Live Nation and Endeavor, through its wholly owned and minority owned subsidiaries, promote and sell tickets and VIP packages that include tickets, lodging and travel accommodations, to live music, sporting and other entertainment events," the release explained.
“These resignations ensure that Endeavor and Live Nation will compete independently,” explains Powers in a release. “Executives are not permitted to hold board positions on companies that compete with each other. The division will enforce the antitrust laws to make sure that all companies compete on the merits.”
Why the DOJ decided to act now — under the Biden Administration, the DOJ's acting assistant attorney general for Antitrust is career DOJ deputy AG and Distinguished Service Award winner Richard Powers — is unclear. Emanuel had already agreed to resign from the board effective two weeks ago when his final stock awards in the company had vested.
In a release, the DOJ described the ownership issue as an illegal interlocking directorate where "one person – or an agent of one person or company – serves as an officer or director of two companies."
Section 8 of the Clayton Act "prohibits the same person or company from serving as an officer or director of two competing companies, except under certain defined safe harbors."
"Endeavor and Live Nation compete closely in many sports and entertainment markets. Both Live Nation and Endeavor, through its wholly owned and minority owned subsidiaries, promote and sell tickets and VIP packages that include tickets, lodging and travel accommodations, to live music, sporting and other entertainment events," the release explained.
“These resignations ensure that Endeavor and Live Nation will compete independently,” explains Powers in a release. “Executives are not permitted to hold board positions on companies that compete with each other. The division will enforce the antitrust laws to make sure that all companies compete on the merits.”
NEWS
No matter what you thought of the Kendrick Lamar and Drake battle, there was only one undisputed winner by the end of it all: the reaction community in the worlds of streaming and YouTube. Your favorite content creators broke down the bars, reacted to all the most shocking moments, and helped this showdown become one of hip-hop's most culturally significant and resonant moments in a long time... For better or worse. See, the battle's technically not over yet, but only because the 6ix God's idea of victory is clearly quite different. In his federal defamation lawsuit against Universal Music Group – his label – for releasing K.Dot's "Not Like Us," he named various content creators who allegedly helped boost the track's widespread popularity and, as a result, its supposedly defamatory nature.
Furthermore, the specific allegation that Drake brings up in this highly controversial lawsuit is that UMG "whitelisted" copyright claims for YouTubers, streamers, etc. concerning "Not Like Us." This means that they would be able to monetize their content without facing a copyright claim from UMG over "Not Like Us," and this isn't really an allegation because various creators have backed this up. But a few important (alleged) caveats that people are talking about online need to be clear. First, "whitelisting" supposedly happens on behalf of a record label behind a song like the West Coast banger, and UMG is instead the distributor of that track. Secondly, as rapper and online personality ScruFaceJean brings up as seen in the post below, tracks like "Push Ups" were also "whitelisted" by its team.
Along with Jean, many other of your favorite content creators spoke out against this Drake lawsuit. Zias! and B.Lou, for example, spoke with their lawyer about the possibility of countersuing for emotional distress, as they found the Toronto superstar's accusations and his implication of them very disturbing and misguided. NoLifeShaq also dragged The Boy through the mud, calling him "soft" and positing that, whether "whitelisting" happened or not, they would react to "Not Like Us" accordingly as they did to his own tracks.
In addition, it's important to bring up that many others fans have pointed to how Drake excitedly used streamers to generate hype and reaction clips for his own diss tracks against Kendrick Lamar. The most direct example is with Kai Cenat, whom he texted to "stay on stream" before dropping "Family Matters." Ironically, the Twitch giant appears in this clowned-upon defamation lawsuit as an example of what the OVO mogul's accusations and implications are. And one more thing: there is no direct link between monetization and algorithmic boosting on sites like YouTube. With all this in mind, content creators seem to feel almost insulted at the idea that they only reacted to the two biggest rappers in the world beefing with each other because one of them would allow them to make money. If Drizzy knew the first thing about the reaction community, maybe he wouldn't have included this...
