Google Cloud obliterated any question about its status as the world’s hottest hyperscaler with a stunning Q2 performance that saw revenue soar 82% to $24.8 billion and backlog explode by 390% to $514 billion.
For the past couple of years, I’ve been making the case that while the revenues for Microsoft Cloud and for AWS are each significantly larger than that of Google Cloud, Thomas Kurian‘s company has been markedly distinguishing itself by growing far more rapidly than both of those first-generation cloud powerhouses. (Please see table below for side-by-side-by-side comparisons.)
And Google Cloud’s Q2 results, turbocharged by its world-class AI technologies and ecosystem, prove beyond any reasonable doubt that it richly deserves its place as the #1 company on the Cloud Wars Top 10.
In support of that claim, I’ll be looking for a key number from Microsoft when it releases its fiscal-Q4 results on July 29 and from AWS when Amazon’s Q2 results are released on July 30: how much incremental Q2-over-Q1 revenue did Microsoft Cloud and AWS each report?
That number is so critical because it showcases how much current right-here-right-now business each company is winning, as opposed to the massive contracted revenue numbers that both Microsoft Cloud and AWS have accumulated in the past.
And as of today, Google Cloud’s remarkable Q2-over-Q1 jump of $4.8 billion in new revenue becomes the number to match or perhaps even beat. But in my table below, you can see that across the last several quarters, neither Microsoft Cloud nor AWS has added anywhere close to $4.8 billion in new quarter-to-quarter revenue.
| Q2 ’26 | Q1 | Q4 ’25 | Q3 | Q2 | |
|---|---|---|---|---|---|
| Google Cloud | |||||
| Growth rate | 82% | 63% | 48% | 34% | 32% |
| Revenue | $24.8B | $20B | $17.7B | $15.2B | $13.6B |
| MSFT Cloud | |||||
| Growth rate | July 29 | 29% | 26% | 26% | 27% |
| Revenue | — | $54.5B | $51.5B | $49.1B | $46.7B |
| AWS | |||||
| Growth rate | July 30 | 28% | 24% | 20.2% | 17.5% |
| Revenue | — | $37.6B | $35.6B | $33.0B | $30.9B |
Parallel Backlog Boom
Along with that remarkable Q2 revenue performance, Google Cloud also delivered truly exceptional forward-looking results as its backlog boomed by 390% to $514 billion. That number represents fully contracted business not yet recognized as revenue, and offers tangible proof that the 82% Q2 surge was not some fairly random flash in the pan but rather a precursor of the growth trajectory Google Cloud has established.
Giving New Meaning to ‘Meaningful‘
However, let it not be said that Alphabet and Google Cloud management are letting this Q2 success go to their heads! In the Alphabet press release disclosing Q2 results for Google Cloud and the rest of the Alphabet organization, Alphabet stretched the word “meaningful” to its ultimate breaking point with this line:
“Google Cloud saw a meaningful acceleration in growth as revenues increased 82% to $24.8 billion, led by an increase in Google Cloud Platform (GCP) across enterprise AI Solutions and enterprise AI Infrastructure, as well as core GCP services.”
Yeah, I think we can all agree that 82% growth in one of the world’s most-demanding and most-competitive markets is “meaningful.”
Alphabet CEO Sundar Pichai allowed himself to be a bit more expansive in that same release, saying, “Q2 was an amazing quarter, with Alphabet revenues growing 24% year-over-year and Google Cloud revenues accelerating to 82% growth, driven by demand for AI infrastructure and AI solutions. It’s great to see wide adoption of Gemini Enterprise, with nearly 90% of the Fortune 100 using it.”
He also said that Gemini models process “22 billion API tokens per minute”, and that almost one billion people are now using the Gemini App.
Plus, “We are seeing strong demand for our security solutions,” said Pichai, referring to what has been one of Google Cloud’s primary differentiators in the Cloud Wars.
Final Thought
Seven years ago, when Thomas Kurian took over as CEO of Google Cloud, he was asked how he could possibly “catch up” to much-larger AWS and Microsoft Cloud. Kurian said the question is based on a false premise because his challenge was not about trying to deal with the big leads those companies had built in the past, but rather to make Google Cloud into the winning company of the future.
And after Google Cloud’s stunning Q2, it appears that at least for now, Kurian has his company right on track.
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