Google Cloud Lands Lovable and Windsurf Deals as AI Startup Adoption Accelerates

San Francisco, United States – Google Cloud has signed new contracts with AI coding startups Lovable and Windsurf, both of which have chosen Google as their primary cloud provider. The deals highlight Google’s push to compete with AWS and Microsoft Azure by becoming the go-to platform for AI-driven innovation.

Rapid Growth in Google Cloud’s AI Footprint

Google reported that its cloud division is now one of its fastest-growing business units, achieving:

• $50 billion annual run rate as of 2025.

• $58 billion in contracted revenue lined up over the next two years.

• $43.2 billion in revenue in 2024, up from $33.1 billion in 2023.

The company claims it now serves:

• 9 of the world’s top 10 AI labs.

• 60% of generative AI startups globally.

• 20% growth in new AI startups selecting Google Cloud year-over-year.

Lovable, Windsurf, and the AI Builders Ecosystem

Both Lovable and Windsurf leverage Google’s Gemini 2.5 Pro models for AI-powered software development:

• Windsurf, recently acquired by Cognition, integrates Gemini into its AI agent Devin, designed to automate software engineering tasks.

• Lovable focuses on accelerating code generation and testing with AI assistance.

At its inaugural AI Builders Forum, Google announced:

• 40+ new AI startups building on Google Cloud.

• $350,000 in cloud credits for early-stage startups.

• Dedicated Nvidia GPU clusters for Y Combinator companies.

This strategy signals a long-term bet that today’s startups could become major enterprise customers as they scale.

Competitive Landscape and Market Growth

The global cloud market is projected to surpass $400 billion by 2025, growing 20% annually.

Analysts note:

• AWS remains the market leader, followed by Microsoft Azure.

• Google Cloud is still third by revenue, but AI-focused partnerships could narrow the gap.

• Free credits and GPU access help attract startups but may pressure margins in the near term.

Strategic Implications for Google

By embedding Gemini models, AI APIs, and cloud infrastructure into the workflows of high-growth startups, Google aims to:

• Lock in long-term platform loyalty before rivals can capture these customers.

• Position Google Cloud as the backbone for next-generation AI companies.

• Expand its AI ecosystem beyond cloud hosting into end-to-end AI services.