Google just landed a major deal supplying OpenAI with cloud computing power to train and run its AI models.
CEO Sundar Pichai spoke about it on the Q2 2025 earnings call.
“With respect to OpenAI, look, we are very excited to be partnering with them on Google Cloud,” Pichai stated.
“Google Cloud is an open platform, and we have a strong history of supporting great companies, startups, AI labs, etc. So super excited about our partnership there on the cloud side, and we look forward to investing more in that relationship and growing that.”
OpenAI quietly added Google Cloud to its public list of suppliers alongside Microsoft and Oracle in July. Reuters reported the deal a month earlier, revealing OpenAI turned to Google for extra compute power amid GPU constraints.
This is huge for Google Cloud, which posted $13.6 billion in Q2 revenue — a jump from $10.3 billion last year — fueled by AI company deals.
Big AI labs like Anthropic, Safe Superintelligence, Fei-Fei Li’s World Labs, and now OpenAI use Google’s mix of Nvidia GPUs and in-house TPUs.
The twist? OpenAI is both a top competitor and customer. This deal gives OpenAI the cloud muscle to challenge Google’s core search business, forcing Google to balance growing AI ambitions with risking its flagship product.
Meanwhile, Google’s own AI products like Gemini have hit 450 million monthly users, and AI Overviews 2 billion. But how they impact Google Search’s business is still unclear.
The deal echoes Google’s old partnership with Yahoo — a startup fueling the very challenge that would one day eclipse it. How long this OpenAI-Google Cloud relationship lasts? That’s anyone’s guess.
