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When AI Reshapes the Shopping Journey, How Much Time Does PayPal Have Left?

PayPal's recent $200 million acquisition of Cymbio signals a strategic pivot to remain relevant in the emerging era of "Agentic Commerce," where AI agents increasingly handle product discovery, decision-making, and purchasing on behalf of users. This move aims to transform PayPal from a Web2 payment button into an embedded infrastructure layer within AI-driven commercial workflows, covering discovery, checkout, and fulfillment. The competitive landscape is rapidly evolving: Google and Shopify are developing the Universal Commerce Protocol (UCP) to control the routing layer, while OpenAI and Stripe are advancing the Agentic Commerce Protocol (ACP) to enable AI agents to execute transactions. Stripe, in particular, is positioning itself as the default "action layer" for AI commerce, mirroring its success as the internet’s payment API. Major forecasts suggest Agentic Commerce could capture $1 trillion in U.S. retail sales by 2030, representing up to one-third of online retail. For PayPal, Stripe, and other fintech players, the challenge is to embed themselves into these new protocol-based ecosystems—or risk being sidelined. Banks retain advantages in clearing and compliance but must adapt quickly, while crypto remains largely absent from current frameworks, presenting both a risk and potential opportunity. PayPal’s acquisition is less an offensive move than a necessary bid to maintain its seat at the table.

marsbitAyer 12:38

When AI Reshapes the Shopping Journey, How Much Time Does PayPal Have Left?

marsbitAyer 12:38

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