PayPal shares exponentially rose to 14% after the company announced an agreement with OpenAI to make its digital wallet the first payments option embedded in ChatGPT.
Speaking to CNBC, CEO Alex Chriss informed that from 2026, users will be able to pay for items found through the AI platform using the familiar āBuy with PayPalā button, while merchants can sell and list their items directly within ChatGPT.
The collaboration cements PayPal at the forefront of AI-driven e-commerce, as ChatGPTās 700 million-plus weekly users could soon shop via AI recommendations like a personal agent.
This significant move comes after the ChatGPT manufacturerās recent incorporations with Shopify, Etsy, and Walmart.
PayPal will manage payment validation, merchant routing, and other backend services, so sellers will not be required to have separate OpenAI accounts.
Chriss underscored that verified merchants and consumers minimise fraud risks, with users able to pay through linked bank accounts, PayPal balances, and credit cards while getting purchase protection and dispute resolution.
With this move, the fintech firm aims to dominate the AI industry in its sphere and shift the paradigm for shopping.
Moreover, PayPal has joined forces with other giants, including Perplexity AI and Google that will expand the use of OpenAIās enterprise AI tools internally to accelerate product development and innovation.
