Microsoft ups the ante in cloud storage price war

|About: Microsoft Corporation (MSFT)|By:, SA News Editor

All Office 365 subs will now get 1TB of OneDrive cloud storage. Microsoft (MSFT +0.5%) had begun offering 1TB to business Office 365 subs in April.

In addition, Microsoft is upping the storage allotment for free OneDrive accounts to 15GB from 7GB, and respectively slashing prices for its 100GB and 200GB standalone accounts by 73% and 65% to $1.99/month and $3.99/month.

The free allotment and 100GB pricing is now even with Google Drive's; Google charges $9.99/month for 1TB, and $99.99/month for 10TB. Following recent price cuts, Apple is set to offer 5GB of free iCloud storage, and respectively charge $0.99/month and $3.99/month for 20GB and 200GB.

The price war could take a toll on Dropbox, which recently raised funding at a $10B valuation: Dropbox charges $9.99/month ($99/year) for 100GB, and $19.99/month ($199/year) for 200GB.

BOX, which argues its enterprise feature set keeps its services from being commoditized, charges $5/month for its Starter plan, and offers unlimited storage for its Business ($15/month) and Enterprise ($35/month) plans.

Microsoft has made a priority of boosting Office 365 sales: The year has already seen the launch of Office iPad apps (full versions are free with Office 365 subscriptions) and a 365-focused Salesforce partnership. Commercial 365 sales doubled Y/Y in calendar Q1.