The UK Competition and Markets Authority said the proposed merger of Getty Images and Shutterstock raised competition concerns in UK stock imagery markets, signaling that a Phase 2 referral would follow unless the parties offered acceptable undertakings by October 27.
The provisional view focused on price, quality, and choice risks for business and editorial buyers.
The watchdog noted that while generative AI is changing how images are created, current adoption barriers mean it does not sufficiently constrain traditional libraries.
Authenticity, licensing certainty, and quality assurance have kept demand anchored to established stock providers, particularly for corporate and editorial use cases.
Why the CMA raised concerns
The CMA identified a risk of substantial lessening of competition in UK markets if two of the largest stock image suppliers combined. It pointed to overlapping customer segments and potential for higher prices or weaker terms.
The authority also flagged service quality impacts, including reduced curation depth and slower rights resolution for time sensitive projects.
The summary emphasized that customers often multi source content but rely most on a small set of leading libraries for critical needs.
The CMA said the transaction could concentrate market power and reduce the leverage buyers have when negotiating licensing bundles.
Did you know?
The UK CMA can accept binding undertakings to resolve competition concerns at Phase 1, but if issues remain, deals are referred to an in depth Phase 2 review by an independent panel.
Are GenAI tools real competitors
The CMA said GenAI tools are not yet substitutes for a significant share of stock imagery demand. Buyers face hurdles around provenance, releases, model and property rights, as well as archive, editorial, and brand safety needs.
These constraints limit the displacement of licensed stock content in the near term. In addition, large enterprises and publishers often require content with verifiable rights chains and indemnities.
The CMA noted that these requirements, along with quality thresholds and audit trails, reduce substitutability between GenAI output and traditional stock libraries.
Who are the closest rivals today
The authority cited PA Media Alamy and Adobe Stock as meaningful competitors that many UK customers use alongside the two parties.
It added that Canva’s stock catalog is typically accessed within its design suite, which limits its role as a like for like supplier for enterprise buyers who procure multi library licenses outside design tools.
Smaller marketplaces and niche agencies were said to play valuable roles but may not provide sufficient competitive discipline at scale.
The CMA suggested that switching costs and workflow integration can further dampen buyer willingness to move away from leading libraries.
What remedies could avoid Phase 2
To avoid a Phase 2 probe, the parties would need to offer undertakings that restore or protect competition. Potential packages could include access commitments, API parity, fair pricing obligations for key segments, or divestment of overlapping verticals or catalogs if behavioral remedies are deemed insufficient.
The CMA has signaled a willingness to accept robust Phase 1 undertakings where they fully address competition concerns.
If no satisfactory proposal arrives by the deadline, the case proceeds to an in depth Phase 2 investigation with expanded information gathering and independent panel review.
What buyers should watch next
Enterprise and editorial buyers should monitor any proposed undertakings affecting archive access, indemnity terms, and price escalators.
Contracting teams may also look for MFN safeguards, transparent usage metrics, and service level commitments that protect turnaround times and rights clearance support.
If the deal advances to Phase 2, the timeline will extend and potential remedies could broaden. Procurement leaders may consider diversification strategies, dual sourcing, and rights verification workflows to preserve leverage and resilience while the UK review continues.
Comments (0)
Please sign in to leave a comment