Google One, Alphabet’s cloud storage and artificial intelligence (AI) subscription service, has reached a significant milestone of 150 million subscribers, the company revealed.
This marks a 50% increase since February 2024, when the service surpassed 100 million users, almost six years after its initial launch.
In the same month, Google introduced a new plan costing $19.99 per month, offering access to AI features that are not available to free users.
While the company continues to provide lower-priced subscription tiers focused on file storage without most AI functionalities, the new AI-focused plan has already attracted “millions” of users, according to Shimrit Ben-Yair, vice president at Google responsible for the subscription service.
Google One is part of Alphabet’s strategy to reduce its reliance on advertising, which accounted for more than three-quarters of its $350 billion revenue in 2024.
The success of the subscription model could prove crucial to Alphabet’s financial future as the company navigates the challenges posed by AI chatbots, such as OpenAI’s ChatGPT and Google’s own Gemini, which threaten its dominance in the search engine market.
The rise of AI offerings has already impacted search traffic, with Apple reporting a decline in searches on its Safari browser for the first time, as revealed during a recent court testimony.
In response, Apple is exploring AI-powered search options, a potential setback for Alphabet, which saw a $150 billion loss in market value on the day of the announcement.
Unlike traditional search engines, AI-driven interfaces are yet to integrate advertising seamlessly.
As a result, many companies are opting to charge users via subscriptions or usage-based fees.
Addressing concerns about monetising its own AI initiatives, Alphabet CEO Sundar Pichai stated in February that the company would offer flexible options over time, similar to its approach with YouTube, but would primarily focus on subscription-based revenue in the near term.
Boluwatife Enome
Follow us on: