About a year ago I was invited and signed up with Getty through the initial program with Flickr. I had many discussions with friends who are professional photographers about whether or not I should sign up, and most echo what is being said here: the royalty rates are too low. This is a fair assessment; Getty pays between 20% to 30% commission for photos(depending on the license type), far below what most stock and micro-stock agencies will pay. For me however, the other advantages far outweighed the lower royalty rates. Having Getty handle everything is for me worth the fat cut they take. They are a large agency, and do attract a huge amount of customers, most being corporate-use type who are use to paying high amounts for photos. They will go after cases of infringement of photos licensed through them. Finally, I get bragging rights to be able to say I contract with Getty (this makes my pro photographer friends very mad. Now we have an understanding not to mention the "G" word). Basically, once I sat down, counted the cost and the other options, I decided it was worth signing up for. I've made enough money to keep me happy and be able to support my expensive photography habit.
Getty itself is in a interesting position here. For the longest time, stock photography was the domain of professional photographers. With the advent of digital photography, there's a new wave of pro-amateurs that have flourished in sites like Flickr. At the same time, traditional photographers worked themselves into a conformable niche shooting increasingly cliche photos. Creative professionals eventually started noticing they could find more creative photos on sites like Flickr and negotiate dirt-cheap rates directly with the photographer cutting out agencies like Getty out altogether. The deal between Getty and Flickr was smart play from Getty to keep themselves relevant in the changing market. There's still a need for a photo agency to do the middle-man work of contracts, licensing, releases, research, etc., at least for now.
So, in summary, this move is good for Getty, good for non-professional photographers, and not good for existing professional photographers.
btw, if anyone is interested, here's my small catalog on Getty and a shameless plug for my site on Flickr