Live Nation Entertainment (NYSE: LYV) is investigating a data breach within its Ticketmaster unit. The breach, discovered on May 20, has added to the company’s recent troubles, which include regulatory scrutiny and antitrust lawsuits.
The incident came to light when Live Nation disclosed in a filing with the U.S. Securities and Exchange Commission (SEC) that “unauthorized activity” was detected in a third-party cloud database primarily containing Ticketmaster data. The company is collaborating with forensic investigators to understand the extent of the breach and mitigate potential risks.
“On May 27, a criminal threat actor offered what it alleged to be company user data for sale via the dark web,” Live Nation stated in its SEC filing. “We are working to mitigate risk to our users and the company, and have notified and are cooperating with law enforcement. As appropriate, we are also notifying regulatory authorities and users with respect to unauthorized access to personal information.”
Despite the severity of the breach, Live Nation asserted that it is unlikely to have a material impact on the company’s business or financials. “We continue to evaluate the risks and our remediation efforts are ongoing,” the company added.
The data breach was purportedly carried out by the cybercrime group ShinyHunters, known for targeting high-profile companies. According to various media reports, ShinyHunters claims to have stolen data on over 500 million Ticketmaster customers. However, Live Nation’s SEC filing did not mention ShinyHunters by name.
In response to the incident, Live Nation is working closely with cybersecurity experts to fortify its defenses and prevent future breaches. The company has also initiated communication with affected users, regulatory bodies, and law enforcement agencies.
The breach adds another layer of difficulty for Live Nation, which is already under intense scrutiny for antitrust concerns. Last week, the company was hit with the first of what is expected to be numerous consumer antitrust lawsuits following a move by the U.S. government and several states to dismantle the company. Authorities argue that Live Nation, along with its Ticketmaster unit, has been unfairly inflating concert ticket prices.
Live Nation’s difficulties come at a time when cybersecurity threats are increasingly common. According to a report by Cybersecurity Ventures, global cybercrime costs are expected to reach $10.5 trillion annually by 2025, up from $3 trillion in 2015.
Information for this story was found via Reuters and the sources mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
