iCloud storage pricing announced.
$20 / year for 10GB
$40 / year for 20GB
$100 / year for 50GB
I will probably upgrade, since I'm bumping up to my free 5GB limit already w/ 2 iOS devices!
For that top price of $100/year, Google gives you 400GB of storage to share between the Docs, GMail, and Picasa Web Albums apps. Not only that, but most photos and videos you're able to take with an Android or iOS phone won't count against your storage space.
What I find odd is that you don't even have the option for anything higher than 50GB. If Apple wants people to shed the optical disc drives and move to cloud storage, won't they need to offer more space than this? Google, on the other hand, offers reasonable plans up to 1TB at $256/year, and if you're Mr. Moneybags you can go up to 16TB for $4,096/year.
Why is it so much more?
It is indeed all about what you need, and if what you need is to only store photos in the cloud for not a lot of money, you're going to want to go with the Google option.
And any which way you cut it, if you need to store more than 55GB in the cloud, you can't only use Apple's service.
Again, like you said yourself, it's about what you need. If you're like me and you use Google Docs instead of Office, all the files you need are in Google Docs anyway.
For the most part, this only matters to a small number of people anyway. I can't imagine there's a large percentage of people who need to store more than 20GB in the cloud, but there will probably be more in the future.