PayPal and OpenAI are forming a partnership[1] that will allow users to make payments directly within ChatGPT. The arrangement, set to roll out in early 2026, introduces PayPal’s wallet and payment processing into the chatbot, creating what both firms describe as the foundation for “agentic commerce”… where digital agents help users search, order, and pay without leaving the conversation.
This marks the first time PayPal transactions will occur inside OpenAI’s interface. Users will be able to link their PayPal accounts, manage purchases, and track deliveries within ChatGPT itself. For PayPal, the move opens a new retail channel, while for OpenAI, it represents another attempt to convert its vast user base into a sustainable source of income.
How the Integration Will Work
OpenAI will use what it calls the Agentic Commerce Protocol (ACP) to connect with PayPal’s payment systems. Through this protocol, merchants who already use PayPal will have their product catalogs automatically appear inside ChatGPT, covering categories such as clothing, beauty, electronics, and home goods.
Buyers will be able to browse items through ChatGPT’s conversational interface, confirm order details using OpenAI’s Instant Checkout, and complete transactions via PayPal’s wallet or supported cards. PayPal will manage all routing, payment validation, and processing on the backend, allowing merchants to participate without additional integration work.
The wallet will include PayPal’s usual protections, including dispute handling and post-purchase tracking, giving users a level of security that mirrors PayPal’s traditional web experience.
Expanding AI Commerce to Millions of Merchants
The integration effectively links OpenAI’s hundreds of millions of users with PayPal’s global merchant base, which spans small sellers and major retail brands. By embedding PayPal’s infrastructure within ChatGPT, millions of businesses could soon become discoverable through AI-driven search and conversation.
It also extends OpenAI’s push into monetizing its products beyond subscriptions. While ChatGPT attracts hundreds of millions of users worldwide, only a small percentage pay for premium tiers. Enabling in-chat purchases offers OpenAI a share of transaction revenue while improving user engagement with its ecosystem.
PayPal’s Strategic Bet on Agentic Systems
PayPal views the partnership as a step toward reshaping how people shop through conversational agents. The company has spent the past year aligning with large technology firms building similar systems. Earlier in 2025, it linked with Perplexity to enable purchases inside that AI search tool and worked with Google to integrate PayPal payments through Google’s Agent Payments Protocol.
By adopting OpenAI’s ACP, PayPal aims to anchor itself at the center of this emerging model — one where consumers may ask an AI to find products, compare options, and complete purchases automatically. For merchants, this arrangement could offer a steady stream of discovery through AI platforms rather than traditional e-commerce sites.
Enterprise Use and Internal AI Expansion
Beyond consumer payments, PayPal plans to expand its internal use of OpenAI technologies. The company will provide ChatGPT Enterprise access to its 24,000 employees and equip engineering teams with Codex, OpenAI’s coding assistant. These tools are intended to streamline product development and improve automation across PayPal’s operations.
What Comes Next
The new features will appear gradually through 2026, beginning with wallet integration for buyers and expanding to product listings for merchants later in the year. Both firms describe the initiative as part of a larger effort to define how AI platforms handle secure, real-time transactions at scale.
While the companies have not shared financial terms, analysts view the partnership as mutually beneficial: OpenAI gains a tested payment system and potential transaction revenue, while PayPal positions itself as the default payment layer for emerging AI platforms.
Notes: This post was edited/created using GenAI tools.
Read next: AI Tools May Deliver Quicker Answers but Shallower Understanding, Study Finds[2]
References
- ^ partnership (newsroom.paypal-corp.com)
- ^ AI Tools May Deliver Quicker Answers but Shallower Understanding, Study Finds (www.digitalinformationworld.com)