Getty Threatens UK Exit Over Shutterstock Deal Investigation By Regulator

Craig Peters, chief executive of Getty Images, has signalled that the company may scale back or withdraw parts of its business from the United Kingdom should its proposed merger with Shutterstock be blocked by the Competition and Markets Authority. Peters made clear that if investment in the Shutterstock acquisition is prevented, Getty would potentially exit the UK, reducing its presence in one of its core European markets.

The merger, announced in January, aims to create a combined image licensing business worth 3.7 billion dollars, generating around 2 billion dollars in annual revenue. Both companies are listed on the New York Stock Exchange, while much of their revenue is generated through subscription fees from major clients in media, advertising, and publishing. Getty has projected that the consolidation could achieve cost savings between 150 million and 200 million dollars within three years.

UK regulators have taken exception to the deal, with the Competition and Markets Authority launching an in-depth phase two investigation earlier in the month. The intervention follows concerns that a merger could reduce competition and result in higher prices, less favourable commercial terms, or diminished service quality for media outlets and advertisers in Britain. Both Getty and Shutterstock attempted to propose remedies to assuage regulatory concerns, but these were dismissed, resulting in the ongoing investigation, which may continue into the next year.

Peters maintains that the transaction is not anti-competitive. He contends that combining Getty and a declining Shutterstock, particularly amid pressures from artificial intelligence on licensing revenues, would bring scale and efficiency, benefiting the wider market. He asserted, unlike technology giants such as Google or OpenAI, Getty had to find realistic strategies for growth and competition.

A Competition and Markets Authority spokesperson confirmed that multiple parties expressed apprehension about the merger’s ramifications, especially its effect on subscription costs and the quality of service for UK-based customers. The evolving role of artificial intelligence in the imaging sector is also under review as part of the probe.

The Labour government has called for reduced regulatory barriers to stimulate investment and has placed the onus on regulators to support economic growth. While the CMA’s chief executive has pledged to concentrate only on genuinely problematic mergers, the authority maintains its commitment to robustly assess the impact on businesses and consumers, rejecting any suggestion of relaxing oversight for potentially harmful deals.