Pine Labs and Google Cloud Launch AI-Driven Agentic Commerce for Indian SMBs

Pine Labs and Google Cloud have entered a strategic collaboration to integrate agentic commerce into the Indian merchant ecosystem. By leveraging Gemini-powered AI agents, the partnership aims to provide small and medium-sized businesses with the infrastructure needed to compete in an AI-driven economy where automated agents handle product discovery, comparison, and transactions on behalf of consumers.

What was announced

The collaboration introduces a suite of tools designed to make Indian merchants readable and accessible to AI systems. Central to this is the deployment of Gemini-powered AI agents that bridge merchant operations, engagement, and payments. For SMBs, a new AI ads agent democratizes marketing by creating and placing high-quality advertisements across Google Search, YouTube, and Pine Labs’ own point-of-sale (POS) devices, providing enterprise-level reach to smaller businesses.

On the operational side, Pine Labs Issuing is developing ‘Jarvis,’ a multi-agent platform built on Gemini Enterprise. Jarvis is designed to assist merchants with program creation, system diagnostics, and customer support across the Woohoo platform. To facilitate the actual transaction within these AI-driven flows, Pine Labs is deploying P3P, a payment layer that ensures real-time, compliant settlement. Initially launching on UPI before expanding to other payment rails, P3P allows merchants to maintain a consistent payment setup even as new AI surfaces emerge.

The technical foundation includes the Gemini Enterprise Agent Platform for catalog enrichment and search. Furthermore, the platform will offer native integration for the Universal Commerce Protocol (UCP) and Agent-to-Agent (A2A) frameworks, which are intended to enable seamless, cross-platform transactions. To ensure regulatory compliance, the Grantex infrastructure provides an auditable trail for every transaction, meeting India’s financial governance requirements and addressing the specific barriers of discoverability, scalability, and secure payment processing.

"The shift to AI-driven buying is already underway. The question is whether India’s 60 million small businesses get to be part of it from the start, or wait for infrastructure that was built for someone else first. With Google Cloud, we’re building the infrastructure layer that makes this real for every merchant in India - from established enterprises to the new generation of merchants who are tech-first, fast-growing, and ready to compete on any surface. We’re talking about the same rails, the same AI agents and the same access to credit, one commerce operating layer for every merchant."

B. Amrish Rau, CEO, Pine Labs.

The companies involved

Pine Labs is a major player in the Indian fintech landscape, providing a wide range of payment and commerce solutions to merchants. The company has established itself as a critical link between traditional retail and digital financial services, focusing on point-of-sale technology and merchant platforms. With a significant presence in the Indian market, it serves both large enterprises and a growing segment of tech-forward small and medium businesses that are competing on ambition rather than legacy infrastructure.

Google Cloud, a subsidiary of Alphabet Inc., provides the cloud computing and artificial intelligence infrastructure powering this initiative. As a global leader in data analytics and AI, Google Cloud offers tools like the Gemini Enterprise platform, which are increasingly being integrated into financial services and retail sectors. The company’s involvement highlights the growing intersection between hyperscale cloud providers and regional fintech leaders. By grounding Pine Labs’ commerce layers in its secure, real-time AI and analytics infrastructure, Google Cloud positions itself as a foundational layer for the next generation of digital trade in one of the world's most dynamic economies.

What FF News has reported before

FF News has closely tracked the expansion of both companies within the digital infrastructure space. Recently, we reported that Pine Labs to Deploy 1 Million Soundboxes to Accelerate India’s Digital Payments, a move aimed at solidifying its physical presence in the merchant ecosystem. Google Cloud has also been active in forming strategic partnerships across various sectors and geographies. This includes a collaboration where Murex and Google Cloud Partner to Accelerate Capital Markets Cloud Transformation and a project where CINET Partners with Google Cloud to Revolutionize Kuwait’s Credit Infrastructure with AI. Additionally, the tech giant has expanded its reach into healthcare, as seen when Vitality and Google Cloud Launch AI-Powered Health Platform in the US to Slash Healthcare Costs.

What this means

This announcement signals a shift from "conversational" AI to "agentic" commerce, where technology moves from answering questions to executing transactions autonomously. By targeting India’s 60 million SMBs, Pine Labs and Google Cloud are attempting to bypass the traditional lag between enterprise adoption and small-business accessibility. This puts significant pressure on traditional payment gateways and e-commerce aggregators who lack deep AI integration. The success of this model hinges on the industry-wide adoption of protocols like UCP. If successful, it raises a critical question for the sector: will the future of commerce be defined by storefront visibility, or by the readability of merchant data for autonomous AI agents?