May 20, 2024

Ticketmaster’s President Is Expected to Be Ousted by Live Nation

While the company has not announced its plans yet, Mr. Hubbard is expected to be out as early as this week, according to these people, who spoke on the condition that they not be named because the plans were private. A spokeswoman for Live Nation declined to comment, and Mr. Hubbard did not return an e-mail on Monday night.

The news was first reported by The Wall Street Journal.

The reason for Mr. Hubbard’s departure was not clear, but it appeared to be related to the company’s move toward a more technology-driven model for Ticketmaster. Mr. Hubbard, 38, joined Live Nation in 2006 when it bought Musictoday, a fan club and merchandising company that had been founded by Coran Capshaw, the enterprising manager of the Dave Matthews Band. Mr. Hubbard had been the chief executive of Musictoday, and became the president of Live Nation’s ticketing division in 2008 and the head of Ticketmaster once Live Nation merged with that company in 2010.

According to Live Nation filings, Mr. Hubbard earned $1.5 million in total compensation in 2012, and $4.1 million in 2011. Last month, Billboard magazine named Mr. Hubbard one of its “40 Under 40” most powerful young executives in the music business.

Mr. Hubbard made himself the public face of Ticketmaster, embracing the challenge of turning around the brand’s negative image among consumers, who frequently blame it for the high surcharges and other headaches related to buying concert and sporting tickets. A former singer and songwriter, Mr. Hubbard stated in many interviews that his goal was to make Ticketmaster more “fan friendly.”

But Live Nation has also pushed to integrate Ticketmaster into the lucrative secondary ticketing market, which allows the company to reap additional fees every time a ticket is resold. The company has also expanded its technology to detect and deter scalpers who use automated computer programs, called bots, to take the best seats in Ticketmaster’s system for themselves, an effort that has been embraced by Michael Rapino, Live Nation’s chief executive.

The first public sign of a weakening of Mr. Hubbard’s power came in May, when Ticketmaster named Jared Smith the president of Ticketmaster North America.

The departure of Mr. Hubbard would further solidify control of the company under Mr. Rapino, after the departure of Irving Azoff, its former executive chairman, at the end of last year.

Article source: http://www.nytimes.com/2013/08/13/business/media/ticketmasters-president-is-expected-to-be-ousted-by-live-nation.html?partner=rss&emc=rss