Google and PayPal have unveiled a strategic multiyear collaboration focused on artificial intelligence-powered shopping experiences and expanded payment integration across Google’s platform ecosystem.
The partnership combines PayPal’s global payment infrastructure with Google’s AI capabilities to develop what the companies describe as “agentic commerce” solutions for businesses and consumers worldwide.
PayPal’s checkout services, including branded checkout, Hyperwallet, and PayPal Payouts solutions, will be integrated throughout various Google products. The company will also serve as a key payment processor for Google Cloud, Google Ads and Google Play services.
“PayPal is a leader in digital commerce, and we’re excited to expand our work together to make online transactions simpler and more secure,” said Sundar Pichai, chief executive of Google and Alphabet. “Through this partnership, PayPal will use our industry-leading AI to enhance services and security, and we will more deeply integrate PayPal’s innovative payment capabilities for a better experience across Google products and platforms.”
The collaboration extends to infrastructure modernisation, with PayPal partnering with Google Cloud to redesign its technology foundations and applications supporting next-generation commerce platforms.
Both companies plan to develop industry standards including Google’s Agent Payments Protocol, designed to enable secure, scalable agentic commerce solutions across the broader technology sector.
“In this emerging world of agentic commence, trust and innovation are key,” stated Alex Chriss, PayPal’s president and chief executive. “Together with Google, we are leading the way for digital commerce, ensuring greater opportunities for merchants and users worldwide.”
The partnership aims to deliver AI-powered shopping experiences that combine PayPal’s data-driven personalisation and identity verification systems with Google’s machine learning expertise. These solutions target consumers, merchants and developers engaging in digital commerce evolution.
PayPal operates across approximately 200 markets globally, while Google’s products including Search, Maps, Gmail, Android and Google Play serve billions of daily users worldwide.
The companies describe the initiative as foundational work supporting ongoing innovation and collaboration as new commerce standards and opportunities develop across the industry.
