Google has announced a strategic partnership with Walmart, Shopify, Wayfair, and other major retailers to expand the shopping capabilities of its Gemini AI chatbot. The initiative, unveiled at the National Retail Federation's annual convention in New York, allows customers to discover and purchase products directly within the Gemini interface without navigating to external websites.
The feature integrates real-time inventory from participating retailers. Users can ask for product recommendations—such as ski gear for a winter trip—and Gemini will retrieve and present options from connected retailers. For a more personalized experience, customers can link their Walmart accounts, enabling tailored suggestions based on their past purchase history. Purchases can be added directly to Walmart or Sam’s Club online shopping carts.
A key component is the instant checkout function, which initially supports Google-linked payment cards, with plans to integrate PayPal in the coming months. Walmart confirmed that for eligible orders, deliveries could arrive in as little as 30 minutes, highlighting the efficiency of the integration.
Walmart's incoming CEO, John Furner, stated the partnership aims to "meet customers wherever they are," creating a more intuitive shopping journey. Google CEO Sundar Pichai echoed this, noting the collaboration leverages AI to enhance the retail experience. The market reacted positively, with Walmart's stock climbing nearly 2% following the announcement.
However, critical financial and operational details remain undisclosed. It is unclear whether transactions are processed directly inside Gemini or routed to Walmart's existing platform, which could impact checkout friction and conversion rates. Revenue split agreements, data ownership, and exclusivity terms have also not been shared, leaving analysts questioning the long-term financial implications.
The move is part of a broader tech race, with companies like OpenAI and Amazon also developing AI-powered shopping tools. The retail sector is increasingly relying on AI, with Salesforce reporting that AI influenced roughly 20% of global retail sales during recent holiday periods. The feature is initially launching for U.S. users, with international expansion planned.
