Newegg PayPal AI partnership turns Perplexity into a storefront

The traditional e-commerce model—search, browse, cart, checkout—is officially on notice. Newegg, the major retailer of PC components and tech, just announced a significant partnership with PayPal to embed its product catalog directly into conversational AI environments, starting with Perplexity.

This isn’t just about using AI for better product recommendations; it’s about turning the AI agent itself into the shopping interface. Newegg is adopting PayPal’s “agentic commerce services,” a fancy term for the infrastructure that allows a merchant’s inventory and fulfillment system to connect seamlessly with an AI platform.

For users, this means asking an AI agent, “What’s the best RTX 4080 Super for a mid-tower case?” could result in a real-time, purchasable Newegg listing appearing directly in the chat window. The transaction is completed right there, using PayPal’s established payment rails, complete with fraud detection and buyer protection.

This move validates the growing belief that the next generation of shopping won’t happen on a dedicated website, but within the conversational interfaces where users already spend their time.

The Agent as the New Storefront

PayPal is acting as the critical middle layer, bridging the gap between Newegg’s massive inventory and the fragmented world of generative AI. Newegg CEO Anthony Chow noted that this integration allows the company to “participate in this new shopping experience,” moving beyond traditional search toward “intent-driven shopping.”

The crucial detail for Newegg is that it retains its status as the merchant of record. This is a massive win for the retailer, ensuring that even though the transaction originates inside Perplexity, Newegg maintains the customer relationship and brand visibility throughout the fulfillment process.

This integration is a clear blueprint for how major retailers plan to survive the shift to agent-driven commerce. If users are going to rely on AI to find and purchase products, the retailers who can embed their catalogs directly into those AI discovery channels—backed by trusted payment systems like PayPal—will capture the market. Newegg is already leaning heavily into AI, offering tools like AI-guided PC building assistants, and this PayPal partnership significantly expands its reach into next-generation interfaces. Newegg products will begin appearing in Perplexity as the integration rolls out.