NONE: ONLINE-ADS>> MS vs. Ticketmaster
ONLINE-ADS>> MS vs. Ticketmaster
Andy Rebele (andy_at_clerk.com)
Tue, 13 May 1997 21:19:56 -0700
There are two points which are conspicuously unmentioned in the MS vs.
Ticketmaster battle:
1) Ticketmaster is a monopoly in the venues where it sells tickets, and
2) Ticketmaster's largest shareholder is Paul Allen, co-founder of MS.
The first point explains the motivation of Ticketmaster's suit. They do
not worry about promoting concerts or other events, because they make their
fee no matter where people buy tickets. They own exclusive rights to
certain venues, so they don't worry about being designated agents on
individual events. While most of us think competitively and conclude that
Ticketmaster should be happy to get the business referred by Microsoft,
they don't think that way because they own 100% of the business in that
venue no matter what. The reason they are opposed to MS controlling access
to tickets is that MS is a long term threat to the monopoly.
The second point is more difficult to figure out. It explains why
Ticketmaster is (justifiably) aware of MS' intentions; the main reason that
Paul Allen bought into Ticketmaster in the first place was that he saw a
convergence of technology, content, and ticket sales. He knows that Bill
and the others at MS think the same way, and he's going to protect his turf
before it's too late. (As we saw in the Microsoft antitrust agreement in
which MS agreed to cease and desist their unfair marketing practices after
they had already beaten Apple and others, like DR-DOS, into submission, it
is sometimes too late to undo a wrong.) However, I don't understand why
Paul and Bill, who are still friends, can't just meet and work it out
without a lawsuit.
Andy
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