The future of shopping could be shaped by artificial intelligence, but a leading voice in the tech world is urging caution. Naveen Tewari, founder and CEO of InMobi Group, believes “agentic commerce” – AI-powered systems that proactively assist consumers – holds immense potential to drive economic growth, but stresses the need for transparency and accountability to avoid repeating the pitfalls of existing digital platforms. This emerging field of agentic commerce could add nearly $3 trillion to India’s economy over the next two decades, according to Tewari’s projections.
Speaking at the India AI Impact Summit, Tewari warned that the promise of AI-driven commerce could be undermined if systems aren’t built on a foundation of trust. He pointed to the issues of distortion and manipulation that have plagued social media, arguing that agentic systems must avoid similar problems. “If you bring AI intelligence into commerce, you fundamentally shift economic growth. But this must be authentic,” he said, adding that digital platforms over the past decade have often manipulated attention.
The shift towards agentic commerce, as envisioned by Tewari, goes beyond simply personalizing shopping experiences. He described a move towards “personal feeds” – dynamic, real-time streams of products tailored to individual consumer needs and preferences. This would involve analyzing a person’s context, including their current situation, desires, and price sensitivity, to identify the most efficient buying pathway. He explained that these systems would be capable of evaluating “millions and billions” of possible pathways to optimize purchases.
Building the Agentic Commerce Infrastructure
InMobi’s approach to agentic commerce centers around Glance, the company’s consumer-facing business, which counts Google, Jio Platforms, and Mithril Capital among its investors. Glance has raised $390 million at a $1.7 billion valuation, and InMobi Group has already invested $200 million in Glance AI and a generative AI ad tech stack, according to Tewari. The core of this infrastructure is a “commerce intelligence graph,” similar to a knowledge graph, that captures and understands commerce-related data. This is coupled with a generative AI layer designed to produce outputs specifically for commerce applications.
Tewari detailed the architecture, explaining that multiple AI models work together to create the agentic experience. A key component is a “living commerce context graph” that continuously understands a user’s immediate context – what they’re looking for, their budget, and brand preferences. This allows the system to proactively suggest products and optimize the buying process.
Impact on Supply Chains and Manufacturers
The implications of agentic commerce extend far beyond the consumer experience. Tewari emphasized that embedding intelligence into commerce will have a ripple effect throughout supply chains and impact manufacturers. By understanding buying behavior in real-time, companies can adjust production and inventory levels more efficiently, leading to reduced waste and improved responsiveness to market demands. This shift could also democratize expertise, potentially narrowing skill gaps and allowing more individuals to participate in the digital economy.
Tewari also suggested that AI could have a profound impact on human lifespan, citing advances in disease treatment and organ creation. “There is a particularly high probability that many of us in this room may extend our lives to 120 years,” he said, adding that diseases and organ development would be addressed “differently.” Although this claim falls outside the direct scope of commerce, it underscores Tewari’s broader vision of AI as a transformative force across multiple sectors.
Addressing Concerns and Ensuring Accountability
The potential benefits of agentic commerce are significant, but Tewari acknowledged the need to address potential concerns. He stressed the importance of transparency, arguing that consumers need to understand how AI systems are making recommendations and influencing their purchasing decisions. Without this transparency, there is a risk of eroding trust and creating a system that is perceived as manipulative.
The call for accountability is particularly relevant in light of growing concerns about the ethical implications of AI. As AI systems become more sophisticated, it is crucial to establish clear guidelines and regulations to ensure that they are used responsibly and do not perpetuate bias or discrimination. Tewari’s comments suggest that InMobi is committed to developing agentic commerce systems that prioritize ethical considerations.
InMobi plans to train commerce models at a massive scale in the coming years, aiming to integrate intelligence into the commerce journey for a large consumer base. A recent keynote address by Tewari at the India AI Impact Summit further detailed these plans and his vision for the future of commerce.
As agentic commerce evolves, the focus on transparency and accountability will be critical to ensuring its long-term success. The next step will be to see how these principles are translated into concrete policies and practices within the industry. Consumers and regulators alike will be watching closely to ensure that the promise of AI-driven commerce is realized in a way that benefits everyone.
What are your thoughts on the future of AI-driven commerce? Share your comments below and join the conversation.
