The influence of the cloud representation in global climate models on the accuracy of the North Atlantic tropical cyclone simulations is investigated. The North Atlantic tropical cyclone activity is simulated with a standard climate model, CCSM. The conventional parameterization of cloud processes in CCSM is replaced by the “super-parameterization” and the simulation is run again. The comparison of tropical cyclone statistics reveals that the model with explicit representation of cloud processes produces a larger number of events, with stronger intensity and longer life-cycle. The results show that clouds have a significant impact on the mechanisms associated with tropical cyclone activity such as surface temperature and ocean subsurface processes, vertical wind shear, and the transport of moisture in the lower troposphere.