Walmart is partnering up with OpenAI to allow customers to purchase items directly within ChatGPT. Walmart (WMT) stock edged higher while shares e-commerce rival Amazon (AMZN) slipped in morning trades on Tuesday.
The move comes as OpenAI is making a broader push into e-commerce. The world’s most valuable startup also recently struck deals with Etsy (ETSY) and Shopify (SHOP) that allow ChatGPT users to buy products from merchants on the two platforms. Walmart, meanwhile, has launched its own AI-powered assistant for shoppers called Sparky.
“For many years now, e-commerce shopping experiences have consisted of a search bar and a long list of item responses,” Walmart Chief Executive Doug McMillon said in a news release. “That is about to change.”
Three years since OpenAI’s ChatGPT became a viral success, shoppers are increasingly turning to chatbots with questions about shopping. Traffic to e-commerce sites from AI chatbots is expected to increase more than 500% year-over-year during the holiday shopping season, according to a recent forecast from Adobe.
The new partnership will allow ChatGPT users to press a buy button when the AI assistant’s algorithm surfaces one of the retail giant’s products. The function will launch in the fall, a Walmart executive told Bloomberg.
“We’re excited to partner with Walmart to make everyday purchases a little simpler,” OpenAI Chief Executive Sam Altman said in a news release. “It’s just one way AI will help people every day under our work together.”
Walmart Stock Gains, Amazon Stock Lower
On the stock market today, Walmart stock is up roughly 3% at 105.18 in recent trades.
Amazon stock, meanwhile, shed more than 1% to 216.81 and is at risk of slipping below its 200-day moving average for the first time since May. Tech stock were broadly lower on renewed concerns about U.S.-China tensions.
But Amazon is also positioning to be a leader in AI-powered commerce. It has launched a chatbot called Rufus within its website. Amazon is also testing an AI agent feature that buys products for customers from other website automatically.
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