PayPal Inc. (NASDAQ: PYPL) announced it will adopt the Agentic Commerce Protocol to expand payments and commerce capabilities within ChatGPT. The partnership will allow ChatGPT users to complete purchases using PayPal's instant checkout system and connect PayPal's merchant network to the AI platform.

Under the agreement, PayPal will process payments for merchants using OpenAI Instant Checkout and provide access to its global merchant network through ChatGPT. The company states that tens of millions of merchants using PayPal will have their product catalogs available on the platform starting in 2026.

"Hundreds of millions of people turn to ChatGPT each week for help with everyday tasks, including finding products they love, and over 400 million use PayPal to shop," said Alex Chriss, President and CEO of PayPal. "By partnering with OpenAI and adopting the Agentic Commerce Protocol, PayPal will power payments and commerce experiences that help people go from chat to checkout in just a few taps for our joint customer bases."

The integration will include PayPal's wallet features such as multiple funding options including bank accounts, balances, and cards, along with buyer and seller protections and post-purchase services. PayPal will manage merchant routing, payment validation, and transaction processing.

PayPal will also expand its use of OpenAI's technology beyond commerce, providing ChatGPT Enterprise access to its 24,000 employees and using OpenAI's APIs for product development. The company will support payments processing for card transactions through its delegated payments API.

The partnership aims to make millions of products from small businesses and retail brands across apparel, fashion, beauty, home improvement, and electronics discoverable and purchasable through ChatGPT. PayPal merchants can sign up for the service immediately.