AI-commerce's Future Hangs in Balance as ACP and AP2 Battle for Merchant Adoption
The Agentic Commerce Protocol (ACP) and Agent Payments Protocol (AP2) are set to shape the future of AI-commerce. With each protocol backed by tech giants, the race is on for early merchant adoption. The outcome could lead to fragmentation, increased costs, and potential biases.
AP2, led by Google and PayPal, boasts billions of users and deep integration with Google Shopping and AI Mode in Search. It aims to provide a secure and seamless payment standard for AI agents. Meanwhile, ACP, backed by OpenAI and Stripe, prioritizes speed and openness. It uses Shared Payment Tokens (SPT) for secure authentication and offers a simple 1-line integration for Stripe merchants. Both protocols have their strengths, with multi-protocol players like Perplexity and Visa hedging their bets to ensure reach across agents and avoid lock-in. The battle for standards is fierce, with the protocol that locks in early merchant adoption likely to shape the trajectory of AI commerce.
With ACP supported by ChatGPT's 700M weekly users and Stripe's commerce infrastructure, and AP2 backed by Google's ecosystem and PayPal's global merchant network, the future of AI-commerce hangs in the balance. The outcome will significantly impact the cost, security, and potential biases in AI-commerce transactions.
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