Google Workspace undercuts Microsoft provide with 71% low cost for US authorities businesses

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What simply occurred? Google is making a daring transfer to problem Microsoft’s dominance in federal authorities software program contracts by considerably slashing costs on its Workspace suite. Underneath a brand new government-wide settlement, the corporate is providing its productiveness instruments to US businesses at a steep 71 p.c low cost.

Tony Orlando, GM of specialty gross sales for Google Public Sector, positioned Workspace as a safe, AI-powered various to Microsoft’s choices.

Google additionally confirmed that Workspace has achieved FedRAMP Excessive authorization, a vital requirement for federal IT techniques. This certification extends to Gemini, which just lately turned the primary AI assistant to obtain FedRAMP Excessive approval. The accreditation ensures that transitioning to Workspace will not require pricey AI add-ons or complicated configurations.

Google isn’t any stranger to authorities work. Tons of of 1000’s of staff throughout the Division of Power and the Air Power Analysis Laboratory already use its instruments. Google highlights its success on the Air Power labs, the place it claims to have created a “versatile, synergistic enterprise” by streamlining digital workflows.

Nevertheless, the brand new low cost is clearly a push to develop that footprint. The pricing – accessible by way of September 30, 2025 – applies to each Google Workspace Enterprise Plus and Assured Controls Plus editions. The corporate estimates {that a} widespread swap may save federal businesses as much as $2 billion over three years.

The timing isn’t any coincidence. The low cost aligns with President Trump’s initiative to centralize federal IT procurement by treating the federal government as a single purchaser. The trouble is a part of a broader cost-cutting marketing campaign led by the Division of Authorities Effectivity (DOGE), which goals to scale back redundancy and streamline IT acquisitions.

Past value financial savings, Google is pitching Workspace as a contemporary, collaborative various. It emphasizes options comparable to real-time enhancing, 99.9 p.c uptime ensures, and built-in AI instruments like Gemini and NotebookLM.

With AI changing into a rising precedence for federal businesses, Gemini’s FedRAMP Excessive certification may function a serious promoting level. Built-in immediately into core Workspace apps like Docs, Gmail, and Meet, Gemini permits options comparable to summarizing, drafting, and data retrieval.

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