Software-Supported Ticket Scalping

Los Angeles Federal Judge Audrey B. Collins issued a preliminary injunction yesterday against RMG Technologies, Inc., of Pittsburgh, Pennsylvania ordering the company "to stop creating, trafficking in, or facilitating the use of computer programs that allow its clients to circumvent the protection systems in the ticketmaster.com web site." Users of RMG software, typically ticket brokers and some ticket scalpers, have used it to flood Ticketmaster to obtain large blocks of tickets, denying consumers an opportunity to buy tickets.

According to a Wall Street Journal article, a recent Hannah Montana concert, the retail price of a ticket was $63, but were being sold for an average of $237. For some shows, according to the New York Times, the show's tickets were sold out in 12 minutes, and then appeared on sale for on the internet up to 10 times their face value. Ticketmaster said that for some shows, software "bots" were responsible for as much as 80% of all ticket requests.

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