The Silent Collapse of Photo Licensing

Kaptur writes:

Particularly in marketing, where demand for fast, customized visuals is high, 39% of marketers use AI to create social media visuals, and 36% to generate website imagery. The accessibility and sophistication of these tools are rapidly eating into the traditional domain of stock photography.

The global stock photography market was valued at $4.65 billion in 2024 and is projected to grow to $6.97 billion by 2030. In parallel, the AI image generator market is on an exponential growth trajectory: from $300 million in 2023, it is projected to reach anywhere between $917 million and $60.8 billion by 2030, with compound annual growth rates ranging from 17.4% to 38.2%. While the stock image market grows steadily, AI image generation is accelerating at a vastly higher rate, signaling a disruptive force that could overtake significant portions of traditional licensing.

The stock photo industry is on a downward spiral, facing an existential crisis as generative AI tools reshape visual content creation. Its core licensing revenue shows early signs of erosion. The industry’s current strategy of licensing archives for AI training is reminiscent of news outlets making deals with AI companies or signing up with Facebook. While this provides immediate revenue, it trades long-term viability for short-term gains. More importantly, the real value may shift from the images to the expertise in creating, curating, and contextualizing visual content.

April 8, 2025. San Francisco