Getty Images files for Chapter 11 bankruptcy protection

Getty Images has filed for Chapter 11 bankruptcy protection following a period of significant financial distress. The company faces approximately $1.46 billion in debt, driven by high investor costs and a failed merger with Shutterstock. Despite generating nearly $1 billion in annual revenue, the agency reported having only $20 million in cash remaining.

The rise of generative artificial intelligence is cited as a major factor undermining the company’s traditional business model. AI tools are shifting market behavior by reducing the need for users to search for and license existing stock photography for general illustrations.

The restructuring plan involves canceling existing shares and equity rights without distribution to current holders. New ownership rights are expected to stem from the financial commitments of restructuring investors. Additionally, unsecured bondholders with a nominal volume of $270 million are slated to receive a collective cash payment of approximately $170.2 million, representing about 63 percent of the nominal amount.