Getty Images and Perplexity ink multi-year licensing agreement

NEW YORK - Getty Images (NYSE:GETY) and AI search company Perplexity announced Friday a global multi-year licensing agreement that will allow Perplexity to display Getty’s imagery across its AI-powered search and discovery tools. The deal comes as Getty’s stock trades at $2.01, with InvestingPro analysis suggesting the company is slightly undervalued based on its Fair Value assessment. Getty shares have declined over 51% in the past year amid significant price volatility.

The partnership integrates Getty Images’ creative and editorial content into Perplexity’s platform through Getty’s API technology. As part of the agreement, Perplexity will enhance its image attribution practices by displaying image credits with links to sources.

"We are pleased to reach this agreement with Perplexity, which acknowledges the importance of properly attributed content and its value in enhancing AI-powered products," said Nick Unsworth, Vice President Strategic Development at Getty Images.

Jessica Chan, Head of Content and Publisher Partnerships at Perplexity, stated, "Getty Images shares our belief that the future of AI-powered discovery requires respecting the creators behind the content."

The collaboration aims to improve user experience by providing high-quality visual content while ensuring proper attribution to creators. Perplexity, which reportedly answers more than 150 million questions globally each week, will use Getty’s extensive library of creative and editorial imagery to enhance its visual offerings.

Getty Images maintains one of the largest privately-owned photographic archives in the world with millions of images, and covers more than 160,000 news, sport and entertainment events annually. The company generates $946.83 million in revenue with an impressive 73.01% gross profit margin, though InvestingPro data shows it remains unprofitable over the last twelve months.

Financial terms of the licensing agreement were not disclosed in the press release statement. Investors looking for deeper insights should note that Getty’s next earnings report is scheduled for November 10. InvestingPro offers comprehensive analysis with additional ProTips and a detailed Research Report on Getty Images, one of 1,400+ US equities covered with expert analysis and actionable intelligence for smarter investing decisions.

In other recent news, Getty Images Holdings, Inc. has completed an exchange offer for its 9.750% Senior Notes due 2027. The company successfully tendered 98.23% of the notes, exchanging them for new 14.000% Senior Notes due 2028 with an aggregate principal amount of $294.7 million. Additionally, Getty Images has closed a private offering of $628.4 million in senior secured notes, which are priced at 10.500% and due in 2030. In a separate development, the U.K. Competition and Markets Authority (CMA) has expressed concerns over the proposed $3.7 billion merger between Getty Images and Shutterstock. Both companies have until October 27 to address these competition concerns to avoid a more detailed investigation by the CMA. These developments highlight significant financial restructuring and regulatory challenges for Getty Images.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.