Visa and Mastercard introduce AI shopping assistants to automate purchases

Visa and Mastercard are pioneering AI technology to revolutionize shopping by introducing autonomous agents capable of managing purchases on behalf of consumers. These AI agents, designed to streamline retail experiences, will allow users to delegate tasks such as grocery shopping or holiday planning to bots that can spend money within pre-set limits.

How AI Agents Work

Visa's Intelligent Commerce platform, developed in collaboration with tech giants like Microsoft and OpenAI, enables AI agents to browse, select, and buy items based on user preferences. Users can set specific tasks, such as finding a product or booking a trip, and authorize the AI to complete transactions. Similarly, Mastercard's Agent Pay uses agentic tokens—unique one-time codes—to secure transactions and protect user data.

Mastercard's AI agent technology aims to enhance security with dynamic tokens.

Consumer Control and Safety

Both companies emphasize that AI agents will operate under user-defined parameters, with options for manual approval before purchases. Visa's Ivana Tranchini stated that consumers can set spending thresholds (e.g., auto-approving purchases under $5,000) or require confirmation for each transaction. Mastercard's Federico Cohen Freue highlighted the role of agentic tokens in preventing fraud.

Adoption in Australia

While Visa and Mastercard are optimistic about Australian banks adopting the technology, discussions with major institutions like ANZ, Commonwealth Bank, Westpac, and NAB have yet to begin. Experts, including technology commentator Trevor Long, predict cautious adoption due to concerns over fraud and consumer debt.

Mastercard's Agent Pay builds on existing contactless payment infrastructure.

Risks and Challenges

Potential risks include unintended purchases if AI parameters are too broad. Visa and Mastercard assure users that existing fraud detection systems will monitor AI-driven transactions. However, disputes would still require resolution through banks. Mastercard's plan to replace traditional card numbers with dynamic tokens aims to further secure transactions.

Timeline

No specific rollout date has been set for Australia. Long estimates agentic tokens could debut within a year, while full AI shopping assistants may take longer due to regulatory and consumer trust hurdles.

For more details, visit Visa's announcement or Mastercard's press release.

ABC/AP