Getty Images, the world's largest supplier of photo and video content, has filed for bankruptcy protection in the U.S. due to the rapid rise of generative artificial intelligence (AI) and overwhelming debt.
On October 12, Getty announced that it had reached an agreement with major creditors on a financial restructuring plan and would file for Chapter 11 bankruptcy protection within a few days.
The decision to seek court protection was largely driven by the explosive growth of generative AI. The proliferation of AI tools capable of generating unlimited images has severely impacted Getty's traditional business of licensing stock photos and videos for advertising and corporate websites. Despite filing copyright lawsuits against AI developers for unauthorized image training, Getty could not prevent its financial decline.
Additionally, a failed merger with competitor Shutterstock, aimed at cost reduction, proved to be a significant blow. The two companies had pursued a $3.7 billion merger, but regulatory hurdles, including scrutiny from the UK's Competition and Markets Authority (CMA), led to the abandonment of the deal in July. This process incurred sunk costs of $108 million, exacerbating Getty's liquidity issues. As of mid-2026, the company's total debt reached $2.1 billion.
Through this bankruptcy process, Getty will transition to a private company. The Getty family, the founders, along with an investment firm affiliated with Koch Industries, will inject $533 million to acquire 100% of the equity, resulting in the complete cancellation of existing common shareholders' stocks.
The downfall of the global leader is expected to have significant repercussions for the media and visual content industries in South Korea. Most domestic media outlets, broadcasters, major advertising agencies, and publishers have annual licensing agreements with Getty Images Korea for foreign photos and commercial images. While the company has pledged to maintain normal operations and content distribution during the restructuring period, potential changes in supply costs or licensing policies cannot be ruled out after the completion of the restructuring.
* This article has been translated by AI.
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