Google Slashes AI Plus to $4.99 and Doubles Storage to 400GB

• 400 GB of cloud storage shared across Gmail, Drive, and Photos
• Higher usage limits than the free tier on the Gemini app (2× the free-tier caps)
• Access to additional features such as video generation and Daily Brief
• “More access” to NotebookLM with expanded usage limits
• Gemini in Gmail and other Workspace-adjacent AI features

The subscription is available in more than 160 countries and territories, and members can choose between a monthly or annual billing cycle .

Pricing before and after the change

When Google AI Plus launched in the US in January 2026, it cost $7.99 per month with 200 GB of storage . The June 8 update cuts that to $4.99 per month with 400 GB of storage—a 38% price reduction while doubling storage .

For existing subscribers, reports note the price decrease takes effect at the next plan renewal, while the storage increase rolls out within a few days .

How the change fits into Google’s I/O 2026 restructuring

Google I/O 2026 in May fundamentally restructured the company’s AI subscription lineup. What was once a single “Google One AI Premium” plan expanded into a multi-tier family :

• Free tier for basic access
• Google AI Plus (now $4.99/month) for more access
• Google AI Pro ($19.99/month) for higher access
• Two Google AI Ultra tiers: a new entry-level Ultra at approximately $99.99/month with 5× higher usage limits than Pro, and a top-tier Ultra at $200/month (reduced from $250) with 20× higher limits and 20 TB of cloud storage

The Ultra tier at $99.99/month was specifically tailored for developers, technical leads, knowledge workers, and advanced creators, according to Google’s own announcement .

Google also shifted its usage model from daily prompt limits to a consumption-based system where simpler text requests consume less quota than complex operations like video generation or coding prompts .

Competitive context

At $4.99/month with 400 GB of cloud storage, Google AI Plus becomes one of the most aggressively priced paid AI plans from a major vendor—undercutting its own prior pricing while bundling a generous storage allocation that stands out against competing AI subscriptions that often separate storage from AI access.

The broader restructuring gives Google a clear upsell ladder: subscribers can start at $4.99/month and move up to Pro at $19.99 or Ultra at $99.99 and $200, creating a path that matches growing usage with increasingly capable tiers . The top tier’s inclusion of YouTube Premium, 20 TB of storage, and expanded NotebookLM and Gemini capabilities positions Ultra as a comprehensive productivity bundle for power users, not just an AI add-on .

The combined effect is a two-pronged competitive strategy: a sharply priced entry level that lowers the barrier for casual users to adopt Google’s AI ecosystem, and premium tiers designed to capture high-usage professionals and developers seeking deep integration and maximum model access .