Pine Labs has partnered with Google Cloud to develop an AI-powered commerce system aimed at transforming how Indian small and medium-sized businesses discover, transact, and operate within automated shopping journeys, addressing historically slow tech adoption in the sector.
Pine Labs has joined forces with Google Cloud to push Indian merchants into the next phase of AI-led commerce, pairing Gemini-powered agents with its payments and merchant infrastructure in a bid to make small businesses visible, bookable and paid inside automated shopping journeys. According to the companies, the aim is to knit together discovery, engagement and checkout in one system rather than leave merchants to stitch together separate tools for marketing, operations and payments.
The pitch is aimed squarely at India’s small and medium-sized businesses, which Pine Labs says number about 60 million and are often slower to benefit when new technologies arrive. B. Amrish Rau, chief executive of Pine Labs, argued in the company’s announcement that the familiar pattern is for innovation to reach the largest firms first, leaving smaller operators waiting on the side-lines. The collaboration is meant to address that gap by helping merchants become readable to AI systems, accessible at checkout and operationally ready for agent-driven buying.
The partnership centres on two products. One is an AI advertising agent designed to create and place campaigns across Search, YouTube and Pine Labs’ point-of-sale devices. The other is Jarvis, a multi-agent platform being built on Gemini Enterprise to support programme creation, system diagnostics and customer support across the Woohoo platform. Pine Labs says the broader goal is to give merchants a single operating layer for commerce, payments and access to credit, rather than a collection of disconnected services.
Pine Labs and Google Cloud say the collaboration is built around three obstacles that can limit agentic commerce for smaller firms. First is discoverability: an AI agent cannot recommend a store if it cannot read the catalogue or understand the inventory. Pine Labs says it plans to offer a customer acquisition stack built on Google Cloud’s AI and data infrastructure, including campaign management, digital presence tools and customer targeting. The company has also said its Agentic Commerce Suite is intended to make stores AI-ready with conversational discovery and embedded checkout, while reducing friction such as app installs, redirects and repeated context switching.
The second issue is payment. Pine Labs says its P3P payment layer is intended to make transactions inside agent-driven journeys real-time, compliant and settled, starting on UPI before extending to other payment rails. In a separate announcement, the company described P3P as India’s first autonomous agentic payment protocol built on UPI, claiming it allows AI agents to complete payments without human authentication. The third concern is governance. Pine Labs says its Grantex infrastructure is designed to make every transaction auditable and aligned with Indian regulatory requirements, a point the company says is essential if banks and regulators are to trust the system at scale.
Google Cloud said the collaboration is intended to ground Pine Labs’ commerce stack in real-time AI and analytics infrastructure so merchants can become discoverable, trusted and active participants in agentic commerce. Amit Kumar, managing director of digital natives business at Google Cloud India, said the market needs a platform capable of operating at deep scale. The companies also said the system will support the Universal Commerce Protocol and Agent-to-Agent frameworks, which are designed to help agents transact across platforms. In effect, the partnership is an attempt to make discovery, payment and compliance work as connected layers of the same merchant infrastructure, rather than separate hurdles to be cleared one by one.
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