New Gen Launches to Power AI-Native Commerce, Equipping Brands with Conversational Digital Storefronts

Backed by $4.5 million in seed funding, New Gen is reshaping digital commerce for human and AI shoppers.

SAN FRANCISCO, May 20, 2025 /PRNewswire/ -- As AI platforms like ChatGPT reshape how people and AI agents search and shop, brands are under pressure to deliver seamless, intelligent experiences. Between July 2024 and February 2025, traffic to U.S. retail websites from generative AI sources grew by 1,200%. To power the future of AI-native shopping and digital retail, New Generation (New Gen), a technology company redefining commerce for the AI internet, launches publicly today with $4.5M in seed funding. The startup is reimagining how brands engage with both consumers and AI-powered shopping agents by giving every brand its own AI-powered shopping page that creates a custom experience for each visitor.

"Traditional retail websites weren't designed for the conversational, AI-first future," said Jonathan Arena, co-founder of New Gen. "We're solving this by creating AI-native storefronts that deliver instant answers and visual, generative experiences without forcing shoppers through rigid navigation or filters. Brands that aren't optimized for this shift risk immediately losing sales to competitors. We firmly believe brands that build for both humans and machines will own the future of commerce."

New Gen addresses this shift by transforming traditional product catalogs into enriched, AI-readable data and layering a fully generative interface on top. Customers experience instant visual answers through natural language interaction, while AI agents gain direct, structured access through a dedicated address at the AI-specific subdomain (e.g., ai.yourbrand.com). This subdomain acts as a specialized entry point optimized for human shoppers and AI-driven traffic, ensuring brands can transition to AI-native commerce without overhauling their existing websites or technology stacks.

Shoppers arriving through AI channels land deeper in the sales funnel, prepared to spend more than those engaging with traditional retail experiences. New Gen ensures brands capitalize on this shift by dynamically tailoring each visitor's experience based on their unique intent, converting AI-driven traffic directly into sales.

"SEO and sponsored results reflect a traditional approach that's worked well in the era of Google search," said Adam Behrens, co-founder of New Gen. "Commerce is entering a conversational, AI-driven era where customers expect direct answers, not a scavenger hunt. Just as programmatic advertising replaced static banners, AI is fundamentally reshaping discovery and purchasing. Brands need new infrastructure built to engage both humans and AI agents simultaneously. That's precisely what we've built: a fast, dynamic platform designed for this emerging reality."

How customers search, shop, and buy is changing in what New Gen refers to as the "AI internet." The company's platform gives brands the tools to build AI-native storefronts that respond to human users or AI agents acting on their behalf. These "visual answer engines" dynamically shape themselves around a shopper's intent, immediately offering relevant results, insights or products, rather than forcing them through rigid navigation or filters. The platform gives brands deeper insight into customer behavior while preserving full creative and data control.

The startup was founded by Harvard Business School alumni Adam Behrens and Jonathan Arena and is already working with early enterprise partners, to power instant checkout for these experiences. The company emerged from stealth mode earlier this year, following a $4.5 million seed round led by South Park Commons, with participation from Matrix, Designer Fund, Slow Ventures, Beat Ventures, and notable angel investors including the co-founder of Pinterest, the former COO of Stripe, and the Head of Llama at Meta.

Co-founders Behrens and Arena draw on deep expertise from leading product, design, and infrastructure teams at companies including Stripe, Meta, Cruise, Patreon and bring a unique perspective to the future of AI-native commerce.

"Brands are stuck with static websites in a world where consumers increasingly expect real-time, intelligent, and personalized experiences," said Evan Tana, Partner at South Park Commons. "New Gen uniquely incorporates the latest AI capabilities with design-forward thinking to create intelligent storefronts that transform how brands serve customers online. Brands that embrace this shift early will capture the next wave of high-intent shoppers arriving through conversational AI channels."

For more information about the platform, visit www.new-gen.ai.

About New Gen: 
New Gen builds commerce infrastructure that powers conversational shopping experiences across AI chat, generative website, and agentic shopping flows. New Gen transforms static brand product catalogs into structured, AI-readable data, allowing brands to deploy dynamic storefronts with natural language search that's tailored for both human customers and AI shopping agents.

SOURCE New Generation