The £2.7bn merger between Getty Images and Shutterstock is under scrutiny by the UK’s Competition and Markets Authority (CMA) following the identification of significant competition concerns. Initially announced in January, the deal had already attracted the CMA’s attention in June. The CMA has now escalated the matter to a detailed phase two investigation, unless the companies propose satisfactory measures to address these issues.
The CMA’s recent filing indicates that the merger “may be expected to result in a substantial lessening of competition within a market or markets in the United Kingdom.” It highlighted that the editorial content supply is concentrated, with Getty Images being the market leader. Shutterstock, although smaller and offering a somewhat different product range, is one of the few significant alternatives to Getty Images, particularly in entertainment and archive content.
Other competition comes from a limited number of newswire services, including PA Media/Alamy, Associated Press, and Reuters, whose offerings differ in commercial models and content focus.
At the merger’s announcement, Getty Images projected annual cost synergies of $150m to $200m within three years, alongside enhanced earnings and cash flow by the second year. The company, along with Shutterstock, committed to achieving cost savings, expanding content offerings, and fostering innovation, particularly in the AI sector. In June, Shutterstock’s shareholders approved the merger, with 82% voting in favour. Shutterstock’s CEO, Paul Hennessy, expressed satisfaction with the shareholder support, emphasising the merger’s potential to enhance customer service and deliver value to stakeholders. The merger was initially expected to conclude in the latter half of 2025.
