Cloud Computing 2025: Key Features You Need to Know from AWS & Google

Introduction

Let’s break it down: cloud computing keeps evolving, and in 2025 both AWS and Google Cloud are dropping heavyweight features. If you’re tracking the future of infrastructure, AI at scale, or enterprise migration, this blog is for you.

1. Agentic AI and Secure Agents via Bedrock AgentCore

At AWS Summit New York 2025, AWS rolled out Amazon Bedrock AgentCore. Think of it as a fully managed platform for deploying AI agents securely and at enterprise scale. It includes runtime services, memory for context, browser tools, and monitoring—basically a framework to manage autonomous AI systems with governance built-in (About Amazon).

AWS also launched a new AI Agents & Tools category in AWS Marketplace, letting customers discover, purchase, and deploy third‑party AI agents (Anthropic, IBM, Brave, etc.) without building from scratch (About Amazon).

2. Amazon S3 Vectors: Storage Optimized for AI

At the same summit, AWS introduced S3 Vectors—a storage system with native vector data support for AI workloads. It promises up to 90 % cost savings and integrates tightly with Bedrock Knowledge Bases and OpenSearch, targeting batch AI use cases and cost-efficient inference storage (IT Pro).

3. Kiro: AI Coding Tool that Went Viral

Kiro, AWS’s new AI coding assistant, launched mid‑July in free preview and got so popular AWS had to throttle usage and impose a waitlist. They’re now preparing paid tiers and usage limits to scale it responsibly (TechRadar).

4. Bedrock Enhancements & Nova Foundation Models

AWS continues investing in generative AI infrastructure. They’ve expanded Amazon Nova, their new family of foundation models, and added customization options for enterprise accuracy and flexibility (Wikipedia).

They also rolled out DeepSeek‑R1 models in January–March 2025 on Bedrock and SageMaker, giving customers advanced text understanding and retrieval-based capabilities (Wikipedia).

5. Transform: Agentic AI for Cloud Migration

The Amazon Transform service uses agentic AI to automate modernization tasks—think .NET to Linux lift‑and‑shift, mainframe decomposition, VMware network conversion—this once complex work is now much faster, sometimes four‑times faster or more (CRN).

6. Aurora DSQL: Next‑Gen Distributed SQL Database

Aurora DSQL is now generally available as a serverless, distributed SQL engine with strong consistency, global scale, and zero‑infrastructure management. It supports active‑active multi‑region deployment and scales from zero upward on demand (CRN, Wikipedia).

7. AWS Ocelot: Their Own Quantum Computing Chip

AWS unveiled Ocelot, a new quantum chip for cloud computing workloads. It’s part of AWS’s broader effort with Amazon Nova and Trainium chips to push into quantum‑AI hybrid infrastructure (CRN).

8. AI Studio, SageMaker, and Clean Rooms Advances

They rolled out AWS AI Studio, showing off next-gen SageMaker features. SageMaker Catalog now offers AI‑powered recommendations for asset metadata and descriptions. AWS Clean Rooms now supports incremental and distributed model training so you can train machine learning models collaboratively and securely across partners without sharing raw data (Amazon Web Services, Inc.).

9. Global Infra & Edge Enhancements

AWS continues to expand Local Zones, strengthening latency and availability in more regions. They’ve pushed Graviton4‑based EC2 instances (C8g, R8g, I8g) offering up to 40 % better database and Java performance and lower energy usage (AWS Builder Center).


Google Cloud: Latest Cloud Computing Upgrades (2025 Overview)

1. Gemini 2.5 Models and AI Agents Ecosystem

At Google Cloud Next 2025, Google launched Gemini 2.5 Flash and Gemini 2.5 Pro, their most advanced “thinking” models capable of chain‑of‑thought reasoning, multimodal inputs, and agent‑level planning. Both models launched in June 2025 with deep think capabilities and native audio output support (Wikipedia).

They also rolled out Agentspace, along with an Agent Development Kit and Agent2Agent Protocol, enabling interoperable developer-built multi‑agent systems (TechRadar).

2. Ironwood TPU v7: Massive AI Compute Power

Google unveiled TPU v7 “Ironwood”, its seventh-gen accelerator, delivering over ten times the performance of previous TPUs (up to ~4,600 TFLOPS). It enables enormous scale for AI training and inference and will be available to customers later in 2025 (investors.com).

3. Cloud Wide Area Network & Cross‑Cloud Interconnect

They made their private global backbone available as Cloud WAN, offering enterprise-grade connectivity with up to 40 % better performance and cost savings versus public internet routing. Also announced: Oracle Interconnect, enabling cross-cloud deployment with zero egress charges (investors.com).

4. Rapid Storage: Ultra‑Low Latency Cloud Storage

Rapid Storage is a new zonal Cloud Storage feature offering sub‑millisecond random read/write latency, 20× faster access, ~6 TB/s throughput and 5× lower latency than other providers. It’s ideal for AI training or real‑time data pipelines (mohtasham9.medium.com, Datadog).

5. Distributed Cloud with Gemini On‑Prem

Google now offers Gemini LLMs on‑premises via its Distributed Cloud platform, letting enterprise customers run models in their data centers. This began rolling out from September 2025 and supports sovereign, low‑latency workloads (investors.com).

6. Google Workspace AI Upgrades

They added AI features like “Help me Analyze” in Sheets, audio overviews in Docs, conversational analytics agent in Looker, and broader Gen‑AI functions inside Workspace apps, enabling everyday users to work smarter with data and content (inspiringapps.com).

7. Local Indian Data Residency and Gemini Access

At an India‑focused I/O event, Google announced Gemini 2.5 Flash processing capabilities inside Indian data centers (Delhi, Mumbai). That supports regulated sectors like banking and enables local developers to build AI apps with lower latency and stronger data control (IT Pro).

They also upgraded Firebase Studio with Gemini‑powered AI templates, collaboration tools, and deep integration with backend services to speed AI app development for developers in India and beyond (Wikipedia).

8. Massive CapEx Push and Ecosystem Investment

Alphabet raised its cloud spending to $85B in 2025, with $10B more capital going into servers, networking, and data centers to support AI growth. Google Cloud revenue grew 32 % year‑over‑year to $13.6B in Q2, reflecting strong enterprise adoption behind these innovations (IT Pro).


Feature Comparison: AWS vs Google Cloud

AreaAWS 2025 HighlightsGoogle Cloud 2025 Highlights
AI ModelsNova foundation models, DeepSeek‑R1, Kiro coding toolGemini 2.5 Flash/Pro, Agentspace multi-agent framework
AI AgentsBedrock AgentCore, Marketplace categoryAgent Development Kit, Agent2Agent Protocol, distributed agents
StorageS3 Vectors for vector searchRapid Storage with ultra-low latency
DatabaseAurora DSQL (distributed serverless SQL)AlloyDB analytics / BigQuery enhancements
Compute HardwareGraviton4 instances, AWS quantum chip OcelotIronwood TPU (v7), support for Nvidia Vera Rubin
NetworkingExpanded Local ZonesCloud WAN backbone, cross-cloud interconnect
Developer ToolsAI Studio, SageMaker catalog improvementsFirebase Studio, Workspace AI, Looker agents
Data ResidencyGovCloud availability, Clean Rooms MLLocal Gemini hosting in India, sovereignty options
Infrastructure SpendAWS continues global zone expansion$85B CapEx, multiple new regions (Africa, Asia)

What This Really Means for Cloud Consumers

AI Agents Are Becoming Real Products

AWS and Google both pushed agentic AI forward—but AWS leans private and governed (AgentCore + Marketplace), while Google establishes an open agent ecosystem (Agentspace + Agent2Agent protocols). The practical result: enterprise-grade, multi-agent apps that can coordinate tasks across systems.

Storage Built for AI

Vector-native storage on AWS (S3 Vectors) and ultra-low latency storage on Google (Rapid Storage) dramatically cut costs and boost performance for training and inference workloads. If you’re in AI ops, consider how these reduce bottlenecks.

AI Compute is in Hypergrowth

AWS invests in quantum (Ocelot), Google in TPUs (Ironwood). AWS enhances its existing Graviton footprint, but Google pushes chip-level scale specifically for generative AI workloads. For heavy AI use, GPU/TPU selection may become pivotal.

Developer Velocity Is Accelerating

Tools like Kiro and Firebase Studio lower friction. With Gemini integrated into Firebase Studio and Kiro surging in demand, code-first developers can build AI apps faster—and expect ecosystems to evolve rapidly.

Compliance & Locality Mattered in 2025

Google’s decision to host Gemini locals inside Indian data centers matters in regulated markets. AWS Clean Rooms improve federated learning without exposing raw data. If your use case is in finance, government or healthcare, these matter.


Detailed Walk‑through: What You Might Do with These Features

Scenario: Launching an AI‑powered chat agent across regions

  • AWS approach: Use Bedrock AgentCore to develop, test, and deploy a chat agent with runtime memory, browser tool integrations, secure governance. Store embeddings in S3 Vectors, run inference queries through OpenSearch. If migrating legacy data, use Transform.
  • Google approach: Build multi-agent flows using Agentspace and A2A protocol. Run inference on Gemini 2.5 Flash, store and retrieve data via Rapid Storage, manage connectivity with Cloud WAN across regions. Use local Gemini clusters if data residency is required.

Scenario: Real‑time analytics from IOT or sensor streams

  • AWS: Deploy edge compute on Graviton-powered Local Zones or via Greengrass integration. Store vectors as users annotate models, Clean Rooms handles multi-party model training.
  • Google: Ingest streams into Cloud Storage Rapid buckets for ultra-low latency, query via BigQuery with AI-based insight tools like Looker conversational agents or Sheets “Help me Analyze.”

Potential Caveats


Side‑by‑Side Summary:

What to choose depends on your priorities:

  • Looking for secure AI agents with governance? AWS AgentCore wins.
  • Need ultra-low latency storage? Try Google Cloud’s Rapid Storage.
  • Planning on deploying agents interoperably across teams? Google Agentspace ecosystem is deeper.
  • Core compute for AI-heavy DNA? Google’s Ironwood probably outperforms general-purpose workloads.
  • Cloud-native .NET or mainframe conversion projects? AWS Transform saves months of manual work.

Conclusion

In 2025, cloud computing isn’t just about virtual machines and storage anymore. It’s about integrating secure, autonomous AI agents, scalable foundation models, localized hosting, and specialized infrastructure like vector stores and TPU accelerators. AWS is doubling down on governance, marketplace adoption, and modernization. Google Cloud is building open ecosystems, ultra-fast infrastructure, and global AI-first pipelines.

Whatever your use case—migration, analytics, AI, compliance—the 2025 wave from both cloud providers is reshaping what’s possible. I’ve given you the rundown. Now it’s your turn: pick the right tools—and build.


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