Alphabet ‘s Google has moved beyond the search bar, positioning itself as the lead architect of “agentic commerce.” In this new world, AI not only suggests what you buy but executes the purchase for you. For years, online retail has operated under a predictable platform: Shoppers search, click through the results, and complete checkout on the retailer’s website. Agentic commerce is rewriting those steps. Instead of manually navigating the results, consumers will rely on artificial intelligence agents that can compare products, manage user accounts, and complete purchases in a single conversation. Google is enabling that transition — adding another reason why the Club in late December got back into Alphabet for its Google Gemini 3 AI model, which has emerged as a world-class rival to OpenAI’s ChatGPT. Our latest buy was Tuesday during a down market. GOOGL 1Y mountain Alphabet 1 year At the National Retail Federation conference earlier this month, Alphabet CEO Sundar Pichai unveiled the Universal Commerce Protocol (UCP) – a new open standard designed to help autonomous AI agents handle the most complex parts of shopping, including discount codes, payment processing, and checkout. UCP allows retailers to offer personalized deals and easy checkout directly within Google Search and Gemini, letting merchants participate in the AI platform shift. Built in collaboration with Wayfair , Shopify , Walmart , Etsy , and Target , “[UCP] lays the groundwork for AI agents and systems to talk to each other across every step of the shopping journey,” Pichai wrote in a LinkedIn post following the NRF announcement. Google said UCP was built for both retailers and customers, “keeping the full customer relationship front and center — from the moments of discovery to decision and beyond.” Google also framed agentic commerce as a significant platform shift that builds “a new chapter in retail.” It’s a necessary move that aligns with shoppers who are increasingly turning to AI tools instead of traditional search to guide purchase decisions and declining foot traffic at physical retail. The UCP standard comes at a critical time as AI agents are changing how retail operates and grows as well as the customer experience. OpenAI’s ChatGPT has already jumped into agentic commerce with its launch of Instant Checkout. It’s a feature that lets users browse, select, and buy products directly in ChatGPT, without leaving the conversation. Like Google’s UCP, ChatGPT has its Agentic Commerce Protocol (ACP) that enables it to coordinate with merchants, payment processors, and fulfillment systems to complete purchases. OpenAI also announced last week that it’s planning to start testing ads in the U.S., competing directly with Google’s core ad business. OpenAI’s ads won’t be launched yet. Instead, the company is starting by testing ads at the bottom of answers in ChatGPT when there’s a relevant product or service based on the user’s conversation with the chatbot, the company…
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