Walmart partners with Google to integrate Gemini AI assistant for seamless shopping

Walmart shoppers will soon get help from Google’s artificial intelligence assistant when buying groceries and other products, the companies said Sunday during a major retail conference in New York City.

The two companies announced their partnership at the National Retail Federation’s Big Show at the Javits Center. John Furner, who becomes Walmart’s next CEO, and Google’s chief executive Sundar Pichai shared the news on stage, though they didn’t reveal when the service would start or what the deal costs. The feature will first arrive in the U.S. before moving to other countries.

The partnership lets Walmart customers use Gemini, Google’s AI assistant, to find and purchase items from both Walmart stores and Sam’s Club. This move comes as more people turn to AI chatbots for shopping help.

Walmart already works with ChatGPT, a competing AI system made by OpenAI. That deal, announced in October, created something called Instant Checkout. This lets people buy products without leaving the chatbot. OpenAI rolled out this feature recently and has similar agreements with Etsy and several Shopify stores, including Skims, Vuori, and Spanx.

Walmart also runs its own AI helper called Sparky. It appears as a yellow smiley face inside the company’s mobile app.

“The transition from traditional web or app search to agent-led commerce represents the next great evolution in retail,” Furner said in a written statement. “We aren’t just watching the shift, we are driving it.”

Speaking at the conference, Furner said the company is “rewriting the retail playbook.” With AI, Walmart wants to “close the gap between I want it and I have it,” he explained. Furner takes over as Walmart’s top boss on Feb. 1.

Pichai called the partnership exciting and said AI adoption marks a “transformative” moment for retail.

For Walmart, customer shopping patterns are changing. More people now start their product searches in AI chatbots instead of going directly to Walmart’s website or app. This shift is forcing the retailer to rethink how it operates online.

David Guggina, who runs online shopping for Walmart U.S., said AI agents “help us meet customers earlier in their shopping journey and in more places.” He added that these tools will eventually “make it easier for customers to find what they need, want, and love.”

Company leaders have also talked about how AI will change jobs at Walmart, which employs more people than any other private company in America. Doug McMillon, the current CEO who’s retiring, said, “It’s very clear that AI is going to change literally every job.”

Google launched a package of tools to help stores create their own AI assistants

Google aims to make it simpler for brands to connect with shoppers who use AI technology. These retail AI agents help people find products, answer customer questions, and even let diners order food at restaurants. Google calls this package Gemini Enterprise for Customer Experience.

These Google tools mark the company’s first major push into AI-based shopping for stores. The market for this type of shopping is just starting to take shape.

As reported by Cryptopolitan previously, OpenAI started the race last fall when it released Instant Checkout, which lets users buy things directly through ChatGPT. In January, Microsoft announced a similar checkout feature for its Copilot chatbot.

But when retailers make their products available inside AI chatbots like ChatGPT, Copilot, or Gemini, they risk losing customer loyalty and missing chances to sell additional items. It could also reduce advertising money. By building their own AI agents and shopping tools, retailers keep more control over how AI shows and delivers their products.

“There’s a market shift across the spectrum of retailers who are investing in their own capabilities rather than just relying on third parties,” said Lauren Wiener, who works at Boston Consulting Group.

Walmart expands drone delivery network

Walmart also plans a major expansion of its drone delivery service this year. Walmart will add delivery-by-drone at 150 more stores over the next year, working with Wing, a drone operator owned by Alphabet. The company wants drone service at more than 270 locations nationwide by the end of 2027.

This represents a big increase from current operations, which mainly serve the Dallas-Fort Worth and Atlanta areas. Wing estimates more than 40 million Walmart shoppers would have access after the expansion, up from roughly 2 million today.

“We want to help customers get what they want, when they want, and where they want it,” said Greg Cathey, senior vice president of digital fulfillment transformation at Walmart. “Drone delivery is especially helpful when customers need just one to a handful of items fast.”

Companies from Walmart and Amazon to delivery app DoorDash have started aerial deliveries in parts of the U.S. over the past several years. The companies see the delivery method as a quick, convenient way for shoppers to get online orders delivered to their homes. But the rollout of the technology has mostly been sporadic and limited to specific regions.

Drone operators have faced regulatory obstacles, community concerns about noise, safety, and privacy, and limitations to flying in inclement weather.

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