Though it has, apparently, been planned for some time, the resignation of the industry’s chief disruptor has come as a surprise to many. As of April 1, iStockphoto founder and chief executive and Getty Images senior vice president of consumer markets Bruce Livingstone departs the stock-image industry.
Livingstone founded iStock almost a decade ago as an image-trading Web site. Soon after, the site pioneered the credits system, giving birth to microstock as we now know it. iStock’s phenomenal commercial success resulted in a $50 million sale to Getty Images in 2006 but did not stop there: it remains the microstock flagship and Getty’s most valuable asset.
Its parent company offers an apt example of iStock’s disruptive effect on the traditional stock industry. While microstock has developed a loyal following among contributors and customers, it has also threatened or destroyed the business of many agencies, who could not compete with the newfound abundance of low-cost imagery. Even Getty Images, the traditional leader, has seen its creative-stock business decline substantially, and analysts including Goldman Sachs predict this decline will continue well into the next decade.
Consequently, the industry’s reactions to Livingstone’s departure are as divided as the industry itself. Blogging pro-photographer John Harrington, for example, wonders how Livingstone will “spend his ill-gotten gains, earned at the altar of ‘deep-and-cheap’ stock photography.” In contrast, contributor responses to Livingstone’s announcement on the iStock forum are overwhelmingly well-wishing, with some not overly original but downright messianic notes: “You gave us the wings to fly on our own.”
In his resignation announcement, Livingstone said he was going to spend time with his family and figure out what he was going to do next. Kelly Thompson, promoted to iStock chief operating officer last August, will take over the help of the microstock company.