PayPal Cashes In On AI Shopping Revolution With ChatGPT Wallet Integration

PayPalPYPL

just found its next storefront — inside ChatGPT. The fintech giant struck a weekend deal with OpenAI to become ChatGPT’s first embedded payments wallet — rolling out next year to link hundreds of millions of PayPal users with the AI platform’s 700M weekly shoppers. CEO Alex Chriss, who took over in 2023, is steering a turnaround by shedding low-margin ventures and doubling down on profitable growth.

• Shares gained nearly 16% in early trading — their best day since July 2022 — after PayPal crushed Q3 expectations with $1.34 EPS and 6% revenue growth, ending the day up closer to 4%.
• The company also raised its full-year adjusted EPS forecast to $5.35–$5.95, topping analyst estimates, and declared a 14-cent quarterly dividend payable Dec. 10.

Reality check: Despite the momentum, PayPal’s challenges remain evident. Total payment transactions fell 5% to $6.3B as management prioritized higher-value volume over sheer count to boost margins. Europe, especially Germany, continues to drag growth, while the US-China payment corridor may take longer to recover from tariff shifts. While branded checkout — a key turnaround indicator — rose only 5%, Chriss remains confident the company is on track to build an “agentic future.”