Google and PayPal have agreed a multi-year collaboration to advance agentic shopping and frictionless commerce payments.
The two firms have set an ambition to develop new AI shopping experiences and standards, merging PayPal's infrastructure with Google’s Agent Payments Protocol for agentic payments.
The protocol uses mandates - tamper-proof, cryptographically-signed digital contracts - that serve as verifiable proof of a user's instructions. This, says Google, addresses the two primary ways a user will shop with an agent: real-time purchases where the human is present, and delegated tasks where the person is not present.
To deepen the partnership, PayPal's branded checkout, Hyperwallet and Payouts will be embedded across Google's shopping and payment platforms, while its enterprise payments business will become one of the key payment providers processing card payments across products like Google Cloud, Google Ads, and Google Play.
“In this emerging world of agentic commence, trust and innovation are key,” says Alex Chriss, president and CEO of PayPal. “Together with Google, we are leading the way for digital commerce, ensuring greater opportunities for merchants and users worldwide. We are bringing PayPal’s products and services to billions of Google users and redefining what’s possible at global scale.”