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Price of Google Apps increases in UK

Increase brings UK in-line with US

UK users of Google Apps  - the search engine's hosted suite of collaboration, messaging and office productivity services - are paying more to use the service, after Google revealed it wants to bring pricing in-line with the US.

Instead of paying £25 per user per year, firms will now pay £33 per user per year when they begin or renew contracts.

The move is the first increase the firm has made, although in January this year it did introduce new terms that made firms with over 50 members of staff sign up for the Premier edition.

Google said that the £33 price had been introduced as part of a quarterly review where data underlined the disparity between the UK pricing and that of the US, where firms pay $50 (£34) per user per year.

"People sometimes buy across global currencies and a large US firm with a UK subsidiary could be buying at a discount price," said Google Enterprise EMEA product manager Dave Armstrong.

However, Armstrong claimed that he knew of no cases where that loophole was being deliberately exploited.

IDC analyst David Bradshaw said: "It's a bit of unfortunate for them but there's been such a big change in currency valuation that I can't see any alternative. It never looks good when you raise prices and people take it for granted when prices go down. If I were a customer with large numbers of users I'd be asking for negotiation".

Google's Armstrong said that the firm is continuing to see about 3,000 businesses per day sign up for Apps.


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