Google has cut the monthly subscription fee for its AI subscription service, AI Plus, to $4.99 from $7.99 and doubled storage to 400GB from 200GB, TechCrunch reported on Tuesday.

Google AI Plus includes the Omni Flash video generation tool, the Google Flow creative studio and the NotebookLM AI research assistant, the report said.

Chi-Hua Chien (치화 치엔), a co-founder of Goodwater Capital, saw Google's move as a signal toward an era of commoditised AI infrastructure. "In the web era, infrastructure companies like Microsoft, Cisco and Oracle were valuable at one point but eventually became commoditised," he said. "AI infrastructure companies like OpenAI or Anthropic will find it difficult to avoid the same trend," he said.

Google has pursued a low-price strategy first in emerging markets such as India. OpenAI launched ChatGPT Go at around $4.60 a month in India in August last year, and Google also introduced an AI Plus plan priced below $5 in India in December.

Anthropic has not yet introduced a localised pricing plan or a low-cost plan in India. But pressure is expected to increase as rivals continue to cut prices. TechCrunch said both OpenAI and Anthropic are preparing for IPOs, and price competition is emerging as a variable in maintaining premium corporate valuations.