Getty abandons $3.7 billion Shutterstock merger after UK antitrust conditions

Getty Images said it will terminate its planned $3.7 billion merger with Shutterstock after the UK Competition and Markets Authority conditioned approval on Shutterstock selling its editorial business.

The decision ends a transaction announced in January 2025 that had already cleared review by the U.S. Department of Justice in February 2026. The deal was meant to combine two of the biggest names in stock imagery, editorial photography, video and related visual content.

Getty said in a regulatory filing that it is not required to accept the UK remedy and that its board voted unanimously not to pursue the divestiture. The company said it would instead look at strategic financing alternatives if the merger is formally terminated.

Why the deal fell apart

The key problem was the CMA’s demand that Shutterstock sell its editorial business. That portfolio includes news and celebrity-focused imagery and video, with reports identifying subsidiaries such as Backgrid and Splash as part of the unit.

According to the reporting and Getty’s filing, the regulator’s concern was that without that sale, the combined company could reduce choice for UK media buyers and potentially raise prices.

Getty rejected that condition. The company said it would not pursue the required divestiture and would terminate the merger agreement unless circumstances materially change.

The move leaves the merger with no clear path forward, despite the earlier U.S. clearance. It also underscores how a transaction can clear one major jurisdiction and still fail in another.

Timeline of the takeover

Getty and Shutterstock first agreed to merge in January 2025 in a deal valued at about $3.7 billion. At the time, the companies pitched the combination as a way to strengthen their position in a market increasingly pressured by generative AI image tools.

The U.S. Department of Justice later granted unconditional antitrust clearance in February 2026, removing the main American regulatory hurdle.

The UK process proved more difficult. In May 2026, the CMA conditioned approval on the sale of Shutterstock’s editorial business, setting up the standoff that has now ended the deal.

WSJ reported on June 30 that Getty planned to end the merger after the U.K. imposed conditions. The Verge, Financial Times and other outlets subsequently confirmed the collapse, and The Times reported on July 1 that Getty had called off the tie-up on the regulator’s demands.

Getty’s filing said the board voted to terminate the merger agreement and that the formal termination was slated for July 6 unless circumstances materially changed before then.

What it means for Getty and Shutterstock

The collapse removes the expected scale benefits and cost synergies from the merger. It also leaves Shutterstock to continue as an independent company after a long, highly visible sale process.

For Getty, the next issue is how to handle financing and its broader strategic options if the merger is formally terminated. The company said it will explore alternatives rather than accept the editorial-business sale demanded by the UK watchdog.

The market reaction was negative. Reports said Shutterstock shares fell sharply after the deal was called off, and Getty shares also moved lower.

The failed merger is also notable because it highlights the tension between deal-making and competition policy in a sector that has been reshaped by AI. Getty and Shutterstock had both faced pressure to adapt as generative tools increased competition in visual content.

What comes next

The most immediate next step is Getty’s formal termination notice, which the company said was expected on or after July 6 unless something changes.

Shutterstock may also respond publicly to the collapse, while the CMA could provide additional detail on its reasoning or timing.

Investors will be watching Getty’s financing plans and any revised strategy statements from both companies. For now, a merger that was pitched as a way to create a stronger global visual-content business has become a failed sale process instead.