Hajra Naz
Shares of Getty Images soared on Monday following a new partnership with OpenAI.
The stock fared all the better at first in premarket trading, more than doubling or up as much as 200%, a stunning turnaround for a company that had been nearly given up on by many investors. The deal will make Getty’s licensed photo library accessible through ChatGPT, displaying Getty images directly in the AI chatbot.
This is a somewhat odd development, given that Getty has sued several AI companies over the use of its copyright-protected images over the past few years.
The agreement will also enable ChatGPT to show Getty images in search and discovery experiences with attribution attached to the photographs. That provides a new way for Getty to reach millions of users around the globe with its content.
Just as important as what the companies uncovered is what they did not share.
Neither OpenAI nor Getty revealed the financial terms. They also steered clear of whether Getty’s images could one day be dropped into AI models to help with training.
This question is at the heart of Getty’s long-running dispute with companies in the AI sector.
For example, Getty filed a lawsuit against Stability AI, claiming it had generated Stable Diffusion using millions of images without paying for the rights in 2023. The case transformed into one of the most closely monitored judicial fights in the AI sector.
But Getty was dealt a blow last year when UK judges dismissed its main copyright allegations, although they upheld some limited claims based on trademark violations. Getty is now looking to appeal portions of that ruling.
Investors seemed to care more about the future than the courtroom.
Getty shares had experienced approximately a 55% drop in value over the year up through Friday, when it closed at just 61 cents a share ahead of the OpenAI news. The stock was still up more than 150% for the day, although the initial rally began to lose steam after the open.
The sharp response reflects the increasing concerns about Getty’s traditional business. With the rise of AI image generators, demand for licensed stock photography is becoming squeezed ever more tightly.
Instead of completely ignoring that shift, Getty is leaning into it.
The company has already signed deals with AI-centric companies like Perplexity and recently extended its partnership with Canva. CEO Craig Peters has been contending that accurately generating AI search results is better done by using professionally licensed content.
In the case of Getty, it feels less like a victory lap over OpenAI and more like a moment of strategic reshuffling. Now, the company is figuring out how to exist with a technology that seemed poised to disrupt its business.
