Ottawa, January 14, 2026, 11:15 (EST)
- Shopify announced a Universal Commerce Protocol that enables AI assistants to finalize checkout for merchants directly within chat and search platforms
- Google says the open standard already has the backing of over 20 retailers and payments companies as AI shopping gains momentum
- Shares of Shopify dropped roughly 7.5% during late morning trading in the U.S.
Ottawa-based Shopify (SHOP.TO, SHOP.N) announced it has co-created a new open standard with Google and broadened its integrations with both Google and Microsoft. The goal: to enable shoppers to complete purchases from Shopify merchants directly within AI search and chat tools. Called the Universal Commerce Protocol (UCP), the technology links AI systems to merchants’ checkout processes, facilitating transactions inside conversational interfaces. Brands like Monos and Gymshark will sell through Google’s AI surfaces, while Keen is among those using Microsoft’s Copilot Checkout, according to Digital Commerce 360. 1
The push is gaining momentum as “agentic commerce” — AI tools that search, compare, and make purchases for users — shift from demos into pilot programs. If these assistants take hold as the main shopping gateway, whoever owns checkout and order data stands to gain fees, influence, and direct access to customers.
Google revealed that UCP will handle checkout in its Gemini chatbot and AI Mode in Search, aiming to keep shoppers within its apps. CEO Sundar Pichai described the standard as laying the “groundwork” for agentic shopping. Over 20 retailers and payment companies, including Visa, Mastercard, PayPal, and Stripe, have thrown their support behind it. 2
The Stack reported that the open-source protocol was created in collaboration with retailers like Walmart and Target, along with marketplace Etsy. Its goal is to unify communication between agents, merchants, wallets, and payment providers. The protocol leverages established standards including OAuth 2.0, widely used for cross-service login, and PCI-DSS, the security framework governing card payments. 3
Shopify will channel its AI commerce features through its admin tools, also opening its product catalog to brands outside its platform so they can appear in the same sales channels, Betakit reported. “I like to think that we’re building the pickaxes for this gold rush of creativity,” said Shopify VP of product Vanessa Lee. 4
Shares of Shopify dropped roughly 7.5%, hitting $154.89 in late morning trading in New York. Amazon.com slid about 2%, while Etsy edged down 0.3%. U.S. stock indexes were mostly lower, dragged down by declines in bank and tech stocks, the Associated Press reported. 5
Shopify hasn’t revealed the financial details behind the integrations or how much revenue they might generate. The company also hasn’t provided a timeline for expanding UCP beyond the initial launches with Google and Microsoft.
For months, the company has been diving into AI shopping, striking a deal with OpenAI last year that enables merchants to sell via ChatGPT and what it dubs “agentic storefronts.” The core idea: maintain Shopify’s checkout system behind any fresh consumer interface.
Yet the gamble raises a key concern: shoppers might resist bots managing large-scale purchases, while merchants fear losing grip on pricing and customer experience once transactions move to third-party chats. Product data is often chaotic, and wrong answers risk turning into flawed orders.
Competition isn’t standing still. OpenAI has pushed forward its own agentic commerce protocol, while Amazon continues to introduce AI-driven shopping features within its marketplace.
Investor commentary rolled in quickly. In a column published Wednesday, InvestorPlace’s Luke Lango highlighted Shopify as a prime example of a “hyperscale” platform. He argued that software-heavy firms can bring in new customers without much added cost. 6
Shopify’s immediate challenge is proving that shoppers will adopt the new in-chat checkout flows as they launch on Google and Microsoft platforms. Investors are keen to see if AI-powered purchasing boosts sales volumes without compromising merchant control.
