Google has announced significant price reductions for its AI models in a strategic move to compete with OpenAI and Anthropic. At its recent I/O developer conference, Google unveiled new pricing strategies, including a $100 per month entry-level AI Ultra subscription and a reduced premium AI Ultra subscription price from $250 to $200. These changes aim to attract software developers and enterprise customers by offering advanced safety and programming capabilities at a lower cost. In addition to pricing adjustments, Google reported a substantial increase in the usage of its Gemini AI app, which now boasts 900 million monthly active users, more than doubling over the past year. The company also highlighted a dramatic rise in daily requests and AI token processing, with over 3.2 quadrillion tokens handled monthly, marking a sevenfold increase from the previous year.