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    Google raises the prices of G Suite Basic and Business

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    Lluís Enric Mayans

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    Following the announcement of the restyling that will bring the Material Design to all the most important components of the G Suite (Documents, Sheets and Presentations), the Mountain View group communicates a price increase of subscriptions to the platform dedicated to productivity. This is the first ever price increase for the service and will affect, at least initially, the Basic and Business formulas. No change for the Enterprise one instead.

    G Suite: prices increase

    More in detail, starting from the 2 April 2019 subscribers with a Basic subscription will have to bear an increased monthly expense of 1 dollar (from 5 dollars to 6 dollars for each user), while for the Business formula the increase will be equal to 2 dollars (from 10 dollars to 12 dollars for each user ). The price hike will apply worldwide, with variations based on individual territories and their currency. As for theItaly, at the moment the cost is set at 4 euros per user per month (or 40 euros per year) for the Basic formula, 8 euros for the Business one and 23 euros for the Enterprise one.

    Over the past decade, G Suite has grown to provide more tools and features, helping businesses transform the way they work. What hasn't changed over time is the price. Today we are announcing two incremental updates to the cost of the offering to reflect its value.

    The change will affect both those who have decided to subscribe through Flexible Plan (with monthly fee) and those who have opted for the Annual Plan, starting at the first renewal after April 2, 2019. A 20% increase in the rates applied to date, introduced just a couple of months after the appointment of Thomas Kurian as number one of the Google Cloud division. Former Oracle executive, replacing Diane Greene.

    G Suite users

    According to official statistics released by Google, to date the G Suite serves about 4 million companies worldwide, has 1,5 billion active users every month on Gmail mailboxes and 1 trillion files saved by 1 billion professionals on the Drive platform servers. The For Education edition for students and teachers is used by 80 million accounts.

    The new rates applied by the Mountain View group for G Suite bring the solution closer to that proposed by the competitor in terms of expense Microsoft with its Office 365, although the different characteristics of the two offerings have to be considered.

    Google, which to date has not provided precise and official information on the extent of its business linked to cloud (considered lower than that of competitors Amazon and Microsoft), in February 2018 it declared that the proceeds related to the activity in this market segment exceeded the threshold of 1 billion dollars per quarter. The activity is included in the parent company's financial reports A among the so-called Other Revenues, which in Q3 2018 generated a total revenue of 4,64 billion dollars.

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