Google has reportedly announced a new open protocol for purchases initiated by AI agents to create a secure and standardized way of making purchases on behalf of users.
Primarily it is called the Agents Payments Protocol (AP2), the system which aims to address the challenges of trust, payment systems and vendors in the emerging field of AI-driven commerce.
The VPs at Google and Google Cloud, Stavan Parikh and Rao Surapaneni, said, “We are committed to evolving this protocol in an open and collaborative process and invite the entire technology community to build this future with us.
The protocol is specifically designed to facilitate a future where AI agents can shop for products on customers’ behalf and interact directly with retailers’ AI.
The protocol enables an allocation for fully automated purchases, and the agent is particularly allowed to automatically generate a cart mandate once an item is found.
These features will require a more detailed intent, specifying price limits and other rules of further engagement.
The prime goal is to retain an auditable trail that can be reexamined in case of emerging fraud.
Google has officially collaborated with cryptocurrency outfits Coinbase and the Ethereum Foundation.
A number of tech companies have been efficiently working on their own agentic purchasing systems.
Stripes produces its own software tools for agentic-driven purchasing, but it is less comprehensive than Google’s AP2 protocol.
However, the impact of AP2 will mostly depend on its support from other players.
Additionally, it has already won the support from substantial financial providers like Mastercard, PayPal, and American Express, providing the protocol a consequential immediate effect.