• U.S. consumers will soon be able to book travel, buy products and secure concert tickets on Perplexity’s chat interface, paying instantly with PayPal or Venmo.
• PayPal will handle payments, shipping, tracking and support.
• The partnership comes as Perplexity is finalizing a $500 million funding round at a $14 billion valuation, down from an initial target of $18 billion.

Perplexity is extending its bet on chat-powered shopping, aiming to stand out in the crowded generative artificial intelligence market against OpenAI, Anthropic, and .

The company said on Wednesday that it's partnering with to let users make purchases directly in chat. U.S. customers will soon be able to book travel, buy products, and secure concert tickets without leaving the platform.

Payments will be completed in the chat with PayPal or Venmo, and PayPal will handle processing, shipping, tracking, and invoicing. Purchases will be completed with one click, with the help of the payment company's passkey checkout.

"Perplexity wants to be wherever users are asking questions and making decisions," said Ryan Foutty, Perplexity’s vice president of business. "Our vision for assistive AI is that everything just gets better and easier for people — wherever they are and however they prefer to make decisions."

Perplexity into e-commerce last year, adding a shopping feature for paid U.S. users and integrating with sellers using services like . Now Perplexity is allowing users to complete transactions within a chat, a feature that OpenAI's ChatGPT has yet to roll out.

PayPal is competing for AI deals against companies including Stripe, Visa, and Mastercard.

In April, Visa, Mastercard, and PayPal — three of the largest payment providers in the United States — each in quick succession began launching new tools to integrate artificial intelligence into online transactions.

in April, a technology that lets AI systems select items and securely complete payments with tokenized credentials. They've partnered with Anthropic, Microsoft, Mistral AI, OpenAI, Perplexity, among others.

"Soon people will have AI agents browse, select, purchase and manage on their behalf," Visa's Chief Product and Strategy Officer Jack Forestell said in a statement. "These agents will need to be trusted with payments, not only by users, but by banks and sellers as well."

also in April, describing it as a solution that will integrate Microsoft's leading AI technologies, including Microsoft Azure OpenAI Service and Microsoft Copilot Studio, with Mastercard's trusted payment solutions "to develop and scale agentic commerce, addressing the evolving needs of the entire commerce value chain."

Mastercard added that it plans to collaborate with Microsoft on new use cases and expects to expand these capabilities with "other leading AI platforms to follow," according to the release.

Meanwhile, designed to embed its payment capabilities into AI-powered shopping experiences.

The simultaneous announcements signal a broader industry shift toward leveraging AI agents to handle everything from product discovery to payment completion.

PayPal technology chief Srini Venkatesan said PayPal's system can directly connect to the merchants, handling payments, shipping, and billing information without requiring users to re-enter details. The company also manages support.

"The next generation of commerce is happening on the agentic side. People are starting to research and shop online through agents," Venkatesan said, referring to AI-driven systems that can complete tasks without human intervention. "Agentic commerce is not only the searching but making it all the way to the purchase — paying for it and then buying it from that merchant. So that's what PayPal has been leading, and we've been trying to get the agentic commerce piece right."

Venkatesan said PayPal's edge in this space comes from its ability to securely verify both buyers and sellers. PayPal authenticates users through their wallet and automatically fills in billing and shipping information, aiming to reduce friction.

"We provide the trust that the business is legitimate on one side, and then the customer is legitimate on the other side," he said.

The partnership comes as Perplexity is at a $14 billion valuation, down from an initial target of $18 billion.

The use of AI-driven chat services for buying decisions has jumped 42% in the past year, according to data, based on 1.6 trillion page views on its platform. Global sales influenced by AI climbed to $229 billion between November and December, up from $199 billion during the same period a year earlier.

ChatGPT, Anthropic’s Claude and Google’s AI Overviews have climbed ahead in search, building powerful real-time results and AI-enhanced answers. OpenAI launched its ChatGPT search feature last year, positioning it to compete directly with Perplexity, while Google’s AI Overviews brought real-time insights to search.

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