Google slashes Drive prices in cloud storage price war

News Jane McCallion Mar 14, 2014
Price cut
Price cut

Search giant takes on Microsoft and Dropbox in race to the bottom

Google has more than halved the cost of its Google Drive cloud storage offering, massively undercutting rivals Microsoft OneDrive and Dropbox.

While the free tier allowance remains at 15GB, users can now get access to 100GB for $1.99 (£1.19) per month, 1TB for $9.99 (£6.01) per month, or 10TB+ from $99.99 (£60.16) per month.

Previously, 100GB of storage had been offered at $4 per month, while 1TB was priced at $49.99 per month.

For comparison, Microsoft OneDrive’s free storage tier is only 5GB. While its additional storage is charged by the year, this works out as approximately $2 per month for 50GB, $4 per month for 100GB and $8 for 200GB, all of which are offered in addition to the free 5GB.

Dropbox offers just 2GB free storage, although this can be increased up to a maximum of 16GB by recruiting others to the service. Users can upgrade to a ‘Pro’ account, starting from 100GB for an additional $9.99 per month, 200GB for $19.99 per month, or 500GB for $49.99 per month.

In a blog post announcing the price drop, Scott Johnston, director of product management at Google, said: “Having launched Google Drive just two years ago, we’re excited that so many people are now using it as their go-to place for keeping all their files.

“Today, thanks to a number of recent infrastructure improvements, we’re able to make it more affordable for you to keep everything safe and easy to reach on any device, from anywhere.”

As an example of how much storage 1TB is, Johnston said a user could take a selfie twice a day for the next 200 years and still have room left for other things.

The new pricing plan is available to sign up to immediately and those who are already on a premium plan will be moved over to the new pricing model automatically, Google said.