There is still plenty of good business to be done in the world of music festivals, as shown today by Live Nation acquiring a majority stake in New York’s Governor’s Ball. Live Nation has been quietly snapping up stakes all over the dance music industry, with a roster that includes Lollapalooza, EDC, and Bonnarroo. While this sounds like a positive development, the action was spurred by a risky situation that Governor’s Ball faces from the new East Coast Coachella.
With Panorama Festival coming only weeks after Governor’s Ball, the company felt the squeeze and realized it needed to expand. The worry was that in today’s environment, a hiccup with a new event could sink the entire company. In comes Live Nation with a national network of venues and resources that can help Governor’s Ball safely expand. Now we are set to see Coachella, owned by AEG Live, and Governor’s Ball go at it across the country. Who said festivals are on the way out again?
Source: NYTimes
