Google has reduced the monthly price of its AI Plus subscription in the United States from $7.99 to $4.99, while increasing the storage included in the plan from 200GB to 400GB.
The company announced the changes on Monday, making AI Plus the lowest-priced paid AI subscription offered by a provider in the US market.
Vikas Kansal, product lead for Gemini AI subscriptions, said on X that the storage upgrade would reach users over the next few days.
Google AI Plus was introduced in January as an entry-level paid plan aimed at individual users and students. The service includes access to Gemini with higher usage limits, Omni Flash video generation, Google Flow creative tools, NotebookLM and AI-powered features in Gmail.
In Nigeria, alongside AI Plus at N7,700, Google still offers higher-priced plans. Google AI Pro costs N28,500 per month and includes 5TB of storage, expanded Gemini access and the company’s Pro model.
Google AI Ultra starts at N89,000 per month, offers at least 20TB of storage and provides significantly higher usage limits, as well as early access to new features.
The current price reduction follows a series of changes to Google’s AI subscription business this year. In April, the company increased storage on its AI Pro plan to 5TB without raising prices. A month later, it launched a new AI Ultra package and reduced the cost of its top-tier subscription from $250 to $200 per month.
With competition increasing among AI providers over subscription pricing, and premium plans taking over the market, companies have now started introducing cheaper options to attract more users.
This first became visible in India, one of the world’s fastest-growing AI markets. OpenAI launched ChatGPT Go there in August 2025 at about $4.60 per month, well below the price of its standard ChatGPT Plus subscription. Google followed with its own sub-$5 AI Plus offering in India later that year.
Google’s latest decision brings that pricing strategy to the United States, where subscription costs have so far played a smaller role in competition between major AI companies.
The development could increase pressure on competitors, particularly Anthropic, which has not introduced a lower-cost subscription tier or localised pricing in key international markets.
OpenAI and Anthropic are both preparing for public listings after filing confidential IPO paperwork, and growing price competition could become an important issue for investors assessing the long-term profitability of AI businesses.
