Why Google Public Sector Built Commercial Cloud for Government Agencies | Cloud Wars Live

At Google Cloud Next in Las Vegas, Bob Evans sat down with Karen Dahut, CEO of Google Public Sector, to discuss how AI, security, and open cloud strategies are reshaping government services. Dahut shared how Google Public Sector was built on the belief that government agencies deserve the same advanced commercial technologies as private enterprises, and why that decision is now proving critical in the era of agentic AI.

AI Reinvents Government

The Big Themes:

• Commercial Cloud for Government: Karen Dahut explained that when Thomas Kurian became CEO of Google Cloud in 2019, he challenged the outdated assumption that public sector organizations should receive different or lesser technology than private enterprises. Instead of building a separate, restricted GovCloud environment, Google chose to accredit its full commercial cloud for government use. This gave agencies access to the same scalability, resiliency, and innovation cycles as Fortune 100 companies. That decision is especially important now because AI workloads demand enormous scale.
• Leadership Makes AI Real: Technology alone does not create transformation — leadership does. Dahut highlighted examples from the FDA, Department of Transportation, and the City of Los Angeles, where visionary leaders are actively driving AI adoption rather than waiting for change to happen. These executives are not simply buying software; they are rethinking how agencies operate, from transportation systems to drug discovery to citizen services. Dahut stressed that real AI success requires courage, education, and enablement alongside strong technology.
• Open Cloud Is Responsible Government: Dahut strongly argued that openness is not optional in public sector technology, it is the only responsible approach. Governments operate with decades of legacy systems, massive backlogs of information, and multimodal data spread across many environments. Forcing all of that data into one cloud platform would be expensive, slow, and ultimately harmful. Google’s approach is to leave the data where it already exists and analyze it there, avoiding costly ingress and egress fees and preventing vendor lock-in.

The Big Quote: “AI and agentic AI is truly going to be one of those technologies that we look back on 10, 15 years from now and say that was truly the most transformational piece of technology since the transistor.”

More from Karen Dahut and Google Cloud:

Connect with Karen on LinkedIn or learn more about Google Cloud Public Sector.

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