Google has announced a significant change to its Workspace suite, making all AI-powered features—including Gmail, Docs, Sheets, Meet, and more—available at no extra cost. Previously, users needed to upgrade to the $20-per-user-per-month Gemini Business plan to access these features. This move comes as Google intensifies its competition with Microsoft, OpenAI, and others in the race to create the ultimate AI-enhanced productivity suite.
However, there’s a catch. As part of this change, Google is increasing the price of all Workspace plans. According to Jerry Dischler, Google’s President of Cloud Applications, companies will now pay approximately $2 more per month per user compared to previous rates. While the exact pricing depends on varying company contracts, the base subscription price has risen from $12 to $14 monthly.
The suite of AI tools now included in Workspace offers features like email summaries in Gmail, auto-generated designs for spreadsheets and videos, automated meeting notes, the advanced NotebookLM research assistant, and enhanced writing tools across applications. It also grants access to Google’s Gemini AI bot, which combines chatbot functionality with powerful search capabilities across all Workspace apps and user data.
Dischler emphasizes that Google’s vertically integrated AI ecosystem provides a unified experience unmatched by competitors. “Most companies hesitate to adopt AI due to high costs,” he explains. “Now, with AI included, they can realize the value without significant upfront investment.”
The change aligns with a broader industry trend of lowering barriers to AI adoption. Microsoft recently announced that its Copilot Pro AI features, initially a $20 monthly upgrade, will now be included in standard Microsoft 365 subscriptions for Personal and Family users in select regions. For both tech giants, the focus is clear: this is their moment to redefine productivity and attract new users by making AI more accessible.
As new AI-powered features roll out, Google is betting that the long-term benefits of widespread AI adoption will outweigh the immediate costs of offering these tools to all Workspace users.
