Snap Inc. Caps Free Memories at 5GB, Rolls Out Paid Storage Plans

When Snap Inc. announced on September 26, 2025 that its popular Memories Storage Plans would replace the free‑forever model, millions of Snapchatters suddenly found themselves staring at a 5‑gigabyte ceiling.

Based in Santa Monica, California, the company gave users a twelve‑month grace period – ending in late September 2026 – to either upgrade or export their content before the newest policy kicks in. The shift marks the first time the feature, launched back in 2016, moves from a pure free service to a tiered, paid offering.

What the New Storage Plans Entail

Here’s the breakdown, straight from the Snap Newsroom post published at 9:00 AM Pacific Time:

  • Introductory Plan: 100 GB for $1.99 per month.
  • Snapchat+ tier: 250 GB for $3.99 per month.
  • Snapchat Platinum: a whopping 5 TB for $15.99 per month.

All three options bill monthly in U.S. dollars and can be activated from the app’s Settings → Memories Storage menu. Users who ignore the notice after the deadline will see the oldest Snaps preserved, while the newest content gets pruned to fit the free 5 GB limit – a detail highlighted by TechCrunch on October 3, 2025.

Why Snap Is Making the Move

The official line, delivered by “Team Snapchat,” reads: “It’s never easy to transition from receiving a service for free to paying for it, but we hope the value we provide with Memories is worth the cost.” The company argues that the additional revenue is essential to "continue to store all of [users'] Memories over the long term" and fund future feature upgrades.

Industry analysts note that the Numbers speak loudly: over 800 million monthly active users spread across 230 countries already generate more than 1 trillion Snaps stored in Memories. Roughly 20 % of that user base – about 160 million people – are estimated to be over the 5 GB threshold. If even a fraction upgrades, Snap could be looking at $180 million in annual recurring revenue, according to internal projections cited by TechCrunch.

CEO Evan Spiegel hasn’t commented publicly, but the change was approved by the board at its September 15, 2025 quarterly meeting, suggesting the move aligns with a broader push to monetize core user‑generated content.

User Reaction and Backlash

The news wasn’t received with a chorus of applause. Within days, users took to Twitter, Instagram, and Reddit to vent. One viral tweet read, “Snapchat is getting greedy again,” a sentiment echoed by Arise TV in its October 5, 2025 roundup of global tech backlash.

Some longtime fans have already started exporting their Memories, using the built‑in download tool that Snap rolled out alongside the announcement. “I saved my whole high school year in Memories; I’m not paying $16 a month for a few extra videos,” one user wrote in a forum thread dated October 8, 2025.

In response, Snap’s support team posted a FAQ on the app, emphasizing that older Snaps will be saved automatically for non‑subscribers, while the most recent ones will be trimmed – a nuance many users missed in the initial press release.

Financial Implications and Market Outlook

Financial Implications and Market Outlook

From a business standpoint, the policy could reshape Snap’s revenue mix. Advertising still makes up roughly 87 % of the company’s total income, but the new storage subscriptions would add a recurring, non‑ad line item. Analysts at Morgan Stanley project that even a modest 5 % conversion of the 160 million over‑limit users would push subscription revenue north of $120 million in the first year.

Competitors are watching closely. Apple’s iCloud and Google Photos already charge for higher tiers, but they operate as broader cloud services. Snap’s move is unique because it monetizes a feature that has been entirely free for almost a decade.

Critics warn that aggressive monetization could erode the platform’s youthful appeal. Yet Snap’s stock has remained relatively stable since the announcement, suggesting investors are betting on the long‑term upside of diversified revenue.

What Comes Next for Snapchatters

Going forward, the timeline is clear:

  1. September 26, 2025 – In‑app notifications and the official Snap Newsroom post go live.
  2. Late September 2025 – Users can start subscribing through the app or begin exporting their data.
  3. Late September 2026 – Free‑tier enforcement begins; non‑subscribers lose their most recent Snaps beyond 5 GB.

For those unsure about committing, Snap advises you can "upgrade at any time" and still retain the ability to download your Memories. The company also hinted at upcoming AI‑powered tools to help users curate their content, though details remain under wraps.

In short, whether you’re a casual snapper who barely uses Memories or a power user with thousands of saved moments, the next year will be a test of how much you value that digital scrapbook and how much you’re willing to pay to keep it safe.

Frequently Asked Questions

What happens to my Snaps if I don’t subscribe?

If you stay over the 5 GB limit past the September 2026 deadline, Snap will automatically keep the oldest Snaps and delete the most recent ones until you’re back under the free cap. You’ll still be able to download everything beforehand using the built‑in export tool.

Can I switch plans later if my storage needs change?

Yes. Snap lets you upgrade or downgrade at any time from the Settings → Memories Storage section. Your billing will adjust at the start of the next month.

How many users are expected to exceed the 5 GB limit?

Internal estimates suggest roughly 20 % of Snapchat’s 800 million monthly active users – about 160 million people – already store more than 5 GB in Memories.

Is the new revenue stream significant for Snap’s earnings?

Analysts project the subscription model could generate between $120 million and $180 million in annual recurring revenue, adding a stable, non‑advertising income line to Snap’s financials.

Will Snap introduce more paid features after Memories?

While Snap hasn’t confirmed any further plans, the company hinted at upcoming AI‑driven content tools that could later be bundled into premium tiers, suggesting this could be the first step in a broader monetization strategy.