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Google just fired a warning shot in the AI subscription price wars

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Google just made its budget AI subscription plan a lot more budget-friendly, bringing a price war that’s been brewing in emerging markets squarely to American consumers.

The company announced Monday that it is cutting the monthly price of Google AI Plus from $7.99 to $4.99 — while doubling the storage included at that tier, from 200 gigabytes to 400 gigabytes.

Vikas Kansal, product lead for Gemini AI subscriptions, said on X that the storage updates would roll out to users over the next several days.

Google AI Plus launched in January as the most affordable paid AI subscription in the U.S. market, aimed at individual users and students rather than enterprise customers. Apparently that wasn’t cheap enough.

It includes a decent feature set, too, including video generation via Omni Flash; the creative studio Google Flow; and NotebookLM, Google’s AI research assistant. For heavier users, Google also offers AI Pro and AI Ultra at higher price points and usage limits.

The price cut is worth indexing on for reasons beyond Google’s own product roadmap. Subscription pricing hasn’t yet been a key battleground among AI providers in the U.S. But that’s changing in real time, suggests Chi-Hua Chien, co-founder and managing partner at consumer-focused venture firm Goodwater Capital; he sees Monday’s announcement as the next salvo in the commoditization era for AI infrastructure, pointing to Google’s structural advantages — vertical integration, distribution, the ability to bundle — as precisely the kind of force that’s likely to erode margins for purer-play AI providers over time.

The historical parallel he reaches for is instructive. “If you look at the web era, the infrastructure companies were Microsoft, Cisco, Oracle, Northern Telecom, Lucent, Akamai, Equinix,” he told TechCrunch. “A lot of those companies survived for a period of time but aren’t worth a lot today.” The reason, he said, is that during every big tech shift — from PC to web to mobile — the infrastructure players “get commoditized very aggressively because the end customer doesn’t think, ‘Ooh, are my bits moving on Cisco networking equipment?’ They’re just thinking, ‘How do I move my bits as cheaply as possible?’”

He sees the same dynamic coming in the not-too-distant future for today’s AI infrastructure layer — including the frontier model providers themselves.

“My prediction for a lot of these infrastructure companies — and when I say infrastructure, I mean an OpenAI or an Anthropic, or the backend components, energy, chips, hosting — there will be a period of time when these companies are valuable,” he said. “But over time, you will see them get increasingly commoditized.”

It’s certainly something that a bigger pool of investors will be pondering soon. Both OpenAI and Anthropic have filed confidentially to go public, and their ability to command premium valuations may soon be tested by exactly the kind of price competition Chien is describing.

That competition has been building for nearly a year in markets like India, one of the fastest-growing AI user bases in the world. OpenAI drew first blood there in August of last year, launching ChatGPT Go at roughly $4.60 a month — a fraction of its standard $20 Plus plan. Google followed in December with a sub-$5 AI Plus plan of its own for Indian users.

Monday’s announcement suggests the same logic that drove those emerging-market moves — undercut, bundle, and capture users before rivals do — has now crossed over to the U.S. market.

Anthropic, notably, hasn’t followed. Unlike OpenAI and Google, it has yet to introduce localized pricing for India or a budget tier anywhere, a move that may become harder to avoid as its rivals keep slashing prices.

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Ex-NPA MD, Dabo dumps APC

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A former Managing Director of the Nigerian Ports Authority, Aminu Dabo, has dumped the All Progressives Congress, APC.

Dabo, who was chairman of the APC caucus in Dambatta Local Government Area of Kano State, resigned from the party in a letter dated October 7, 2026.

The letter was addressed to the chairman of Dambatta Gabas Ward.

He said he took the decision after careful consideration of personal reasons and his future plans.

According to him, he has already submitted the resignation letter to the appropriate party officials in Dambatta for further action.

Dabo thanked the leadership of the APC for giving him the opportunity to serve and for the confidence reposed in him.

“I remain grateful for the cordial relationship I enjoyed and appreciative of the experience gained during my time of service,” he said.

Recall that Dabo was a governorship aspirant in Kano State and previously served as the Commissioner for Land in the state.

Ex-NPA MD, Dabo dumps APC

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Miners Association Seeks Support To Unlock $3bn Gemstone Export Potential  

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By Martha Agas
The Gemstone Miners and Marketers Association of Nigeria (GMAN) has urged the Federal Government to simplify export procedures, tackle smuggling and promote local processing to unlock Nigeria’s $3 billion gemstone export potential.

GMAN President, Adeniran Ajibade, made the call in an interview with the News Agency of Nigeria (NAN) on Wednesday in Abuja.

He spoke on the sidelines of the 11th Nigeria Mining Week, where stakeholders examined strategies for developing Nigeria’s gemstone value chains.

Ajibade said Nigeria possessed diverse, high-quality gemstones distributed across the country, with production largely dominated by artisanal and small-scale miners.

He said the sector could generate about $3 billion in trade, boost foreign exchange earnings and create employment opportunities for young Nigerians.

Ajibade noted that GMAN conducted a baseline study covering gemstone resources in northern and southern Nigeria, which confirmed their widespread distribution.

“It generates hard currency, so it will boost our foreign exchange earnings, and, of course, much of it may not be reflected because there is some very high level of smuggling,” he said.

Ajibade said Nigerian gemstones had gained recognition in international markets, including Tucson, Bangkok, Hong Kong, Israel and India, despite limited mechanisation and value addition.

He, however, said widespread smuggling made it difficult to determine the sector’s actual contribution to the economy.

The GMAN president called for government support for feasibility studies, local processing and branding to improve the quality, value and international competitiveness of Nigerian gemstones.

“Once we add value to it and we do the branding, definitely we can achieve great results for the nation,” he said.

Ajibade said the association was ready to collaborate with government and private investors to develop the sector and attract international gemstone and jewellery brands.

He said GMAN was collaborating with the Thailand Gem and Jewelry Traders Association and stakeholders from Brazil, India and Sri Lanka to exchange knowledge and expand market access.

He urged the government to involve industry operators in formulating export regulations, noting that miners and dealers understood the practical challenges facing the sector.

Ajibade said legitimate international buyers should be able to purchase Nigerian gemstones, repatriate their funds and export the stones through simple, transparent and efficient procedures.

He also called for the full activation of the International Gemstone Centre built by the Federal Government in Ibadan to serve as a hub for miners, dealers, investors and buyers.

Similarly, Prof. Akinade Olatunji, immediate past President of the Nigerian Mining and Geosciences Society, advocated local processing to increase the economic benefits Nigeria derived from its gemstone resources.

Olatunji, a professor of Applied Geochemistry, said Nigeria had historically produced some of the world’s finest gemstones, particularly in Plateau and Nasarawa states.

He decried inadequate industry records, which he said had limited knowledge of the sector’s actual contribution to the national economy.

“Unfortunately, we don’t keep records. Now, if you look at the places where they have mined in this country, either in Oyo, Nasarawa, Plateau, or Kaduna states, we produced some of the best,” he said.

Olatunji urged Nigeria to strengthen domestic processing capacity instead of exporting rough gemstones to countries such as Thailand for cutting and polishing.

He said developing the local value chain would retain more economic benefits within Nigeria while creating employment opportunities for young people.

The professor also urged geology and mining engineering graduates to acquire practical field experience and pursue careers in the sector to support its sustainable development.

NAN reports that stakeholders made the recommendations during a panel session titled “Developing Nigeria’s Gemstone Value Chains” at the mining week.

They called for increased local processing, skills development and effective branding to strengthen the industry and create more jobs for Nigerians. (NAN)

Edited by Kamal Tayo Oropo

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