Live Nation Update

Live Nation has recently signed an additional two artists, Nickelback and Shakira (to your right). This comes on the cusp of the departure of the Chairman Michael Cohl. Some expected that Cohl left due to disagreements with CEO Michael Rapino about the strategies of these enormous 360 deals Live Nation was signing. Well, if that was the case, it appears that Rapino has won.

The Nickelback deal allows Live Nation to participate in merchandising, licensing, sponsorships, recording assets, touring income and 6 other revenue streams. Nickelback will provide 3 albums and 3 tours. The deal is estimated at between $50 – $70 Million.

So over the last few years, Live Nation has signed U2, Jay-Z, Madonna, Shakira, and Nickelback. On the Jay-Z deal, Live Nation paid $150 million and they expect to make $340 million. The verdict is still out. It will take a while longer to find out if Live Nation has found a new business model.

Stay tuned,
Erik
erikrostad.com