The UK's Competition and Markets Authority (CMA) has conditionally approved the merger between Getty Images and Shutterstock. The approval is contingent on Shutterstock divesting its global editorial business to a CMA-approved buyer. This includes the brands Shutterstock Editorial, Backgrid, and Splash, which operate across live and archive news, sport, and entertainment content.
Initially, Getty had agreed to acquire Shutterstock on January 6, 2025, in a deal valued at approximately £245 million in cash and 319.4 million Getty shares, bringing the combined entity's enterprise value to over £3 billion. The companies had also projected annual cost synergies of $150-$200 million within three years post-merger, primarily from their stock content businesses.
The CMA's inquiry group determined that without this divestiture, the merger would substantially lessen competition in the supply of editorial content to UK media outlets, potentially leading to higher prices and reduced choices for consumers. They found that Shutterstock represents a significant alternative to market leader Getty in this sector. The CMA confirmed that a full divestment of Shutterstock's editorial business would be the least onerous and most effective remedy to address these competition concerns, allowing the merger to proceed.
The CMA had rejected earlier partial divestment proposals from the parties. The inquiry group specifically noted that a divestment of only Backgrid and Splash, without Shutterstock Editorial, would not restore the necessary competitive constraint. Shutterstock has reportedly begun a sales process for its entire editorial business, with several third parties expressing interest. The CMA will continue to work with both companies throughout the sales process to ensure that UK media outlets and consumers are not negatively impacted.
