The sold out festival saw 13,000 punters packing into the festival's second year at Albert Park, with many seeking shade from the 28 degree temperatures as they enjoyed early sets by local acts Polyester and Wax Chattels.
Australian singer D.D. Dumbo riled up an audience at the Princes Street stage with his funky alt-rock/pop and elastic falsetto, while Amy Shark's leather jacket lasted just one song as she sweated through a set on the Princes Street stage.
Sylvan Esso had the crowd dancing furiously to their energetic synth-pop, while singer Amelia Meath smashed every note despite telling the crowd she'd lost her voice on the flight over.
It didn't all go to plan with some left feeling short-changed by the lengthy queues at the main gates as crowds peaked around 3pm.
Two fans, Jono and Callum, told the Herald they'd spent close to an hour queuing to get into the festival.
"It's ridiculous," said Jono. "I thought there'd be more than one entrance ... if there were sprinklers it'd be all good."
Organisers apologised for the wait, saying the queues were short-lived and were sorted by 4pm.
Prime Minister Jacinda Ardern, who opened the festival, could be spotted taking selfies with hordes of fans.
The festival was set to continue into the evening with headlining sets by Anderson Paak, The War on Drugs and Bonobo.
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Down on the Thunderdome stage, punters were guaranteed a festival experience in full shade. That didn't mean for lacklustre performances: Die! Die! Die!'s front man Andrew Wilson threw himself into the crowd at the end of a typically hectic set.
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Sylvan Esso proved their glitchy indie-electronica was a guaranteed good time, getting punters dancing sweatily during their early afternoon set. But it was Wolf Alice who really raised the bar, delivering a feisty post-grunge riot that had punters moshing in the mid-afternoon sun.
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Fifteen minutes late and struggling with a silent microphone and feedback, teen sensation Billie Eilish could have gotten angry. Instead, she showed why she's pushing pop to its outer limits, incorporating ballads, bass-laden trap scores and sassy singalongs into her quickfire show. She still does the best "Psych!" out of anyone too.
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Looking nonchalant in a yellow tee and faded blue jeans, D.D. Dumbo brought his full band - featuring multiple horns - to the Princes Street stage. His knockout falsetto and sprightly alt-pop started the day off right for early punters, who still had room to dance and swing around before the hordes arrived.
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Aside from the music, some of the most diverse offerings at Laneway were found at the food stalls. From hand-made dumplings to spicy fried chicken and freshly made pizzas, street vendors provided the perfect lunch and dinner offerings which could be enjoyed under the shady trees. The longest queues appeared to be for anything cold: ice blocks, ice creams, and of course, icy beverages.