diff --git a/builder/googlecompute/builder.go b/builder/googlecompute/builder.go
index e314a8786..83869de45 100644
--- a/builder/googlecompute/builder.go
+++ b/builder/googlecompute/builder.go
@@ -58,9 +58,9 @@ func (b *Builder) Run(ui packer.Ui, hook packer.Hook, cache packer.Cache) (packe
 			SSHWaitTimeout: 5 * time.Minute,
 		},
 		new(common.StepProvision),
+		new(StepUpdateGsutil),
 	}
 	/*
-		new(stepUpdateGsutil),
 		new(stepCreateImage),
 		new(stepUploadImage),
 		new(stepRegisterImage),
diff --git a/builder/googlecompute/step_update_gsutil.go b/builder/googlecompute/step_update_gsutil.go
index d2e8be741..9062c500f 100644
--- a/builder/googlecompute/step_update_gsutil.go
+++ b/builder/googlecompute/step_update_gsutil.go
@@ -7,9 +7,9 @@ import (
 	"github.com/mitchellh/packer/packer"
 )
 
-// stepUpdateGsutil represents a Packer build step that updates the gsutil
+// StepUpdateGsutil represents a Packer build step that updates the gsutil
 // utility to the latest version available.
-type stepUpdateGsutil int
+type StepUpdateGsutil int
 
 // Run executes the Packer build step that updates the gsutil utility to the
 // latest version available.
@@ -17,29 +17,36 @@ type stepUpdateGsutil int
 // This step is required to prevent the image creation process from hanging;
 // the image creation process utilizes the gcimagebundle cli tool which will
 // prompt to update gsutil if a newer version is available.
-func (s *stepUpdateGsutil) Run(state multistep.StateBag) multistep.StepAction {
-	var (
-		config     = state.Get("config").(*Config)
-		comm       = state.Get("communicator").(packer.Communicator)
-		sudoPrefix = ""
-		ui         = state.Get("ui").(packer.Ui)
-	)
-	ui.Say("Updating gsutil...")
+func (s *StepUpdateGsutil) Run(state multistep.StateBag) multistep.StepAction {
+	comm := state.Get("communicator").(packer.Communicator)
+	config := state.Get("config").(*Config)
+	ui := state.Get("ui").(packer.Ui)
+
+	sudoPrefix := ""
+
 	if config.SSHUsername != "root" {
 		sudoPrefix = "sudo "
 	}
+
 	gsutilUpdateCmd := "/usr/local/bin/gsutil update -n -f"
 	cmd := new(packer.RemoteCmd)
 	cmd.Command = fmt.Sprintf("%s%s", sudoPrefix, gsutilUpdateCmd)
+
+	ui.Say("Updating gsutil...")
 	err := cmd.StartWithUi(comm, ui)
+	if err == nil && cmd.ExitStatus != 0 {
+		err = fmt.Errorf(
+			"gsutil update exited with non-zero exit status: %d", cmd.ExitStatus)
+	}
 	if err != nil {
 		err := fmt.Errorf("Error updating gsutil: %s", err)
 		state.Put("error", err)
 		ui.Error(err.Error())
 		return multistep.ActionHalt
 	}
+
 	return multistep.ActionContinue
 }
 
 // Cleanup.
-func (s *stepUpdateGsutil) Cleanup(state multistep.StateBag) {}
+func (s *StepUpdateGsutil) Cleanup(state multistep.StateBag) {}
diff --git a/builder/googlecompute/step_update_gsutil_test.go b/builder/googlecompute/step_update_gsutil_test.go
new file mode 100644
index 000000000..966857f93
--- /dev/null
+++ b/builder/googlecompute/step_update_gsutil_test.go
@@ -0,0 +1,85 @@
+package googlecompute
+
+import (
+	"strings"
+	"testing"
+
+	"github.com/mitchellh/multistep"
+	"github.com/mitchellh/packer/packer"
+)
+
+func TestStepUpdateGsutil_impl(t *testing.T) {
+	var _ multistep.Step = new(StepUpdateGsutil)
+}
+
+func TestStepUpdateGsutil(t *testing.T) {
+	state := testState(t)
+	step := new(StepUpdateGsutil)
+	defer step.Cleanup(state)
+
+	comm := new(packer.MockCommunicator)
+	state.Put("communicator", comm)
+
+	// run the step
+	if action := step.Run(state); action != multistep.ActionContinue {
+		t.Fatalf("bad action: %#v", action)
+	}
+
+	// Verify
+	if !comm.StartCalled {
+		t.Fatal("start should be called")
+	}
+	if strings.HasPrefix(comm.StartCmd.Command, "sudo") {
+		t.Fatal("should not sudo")
+	}
+	if !strings.Contains(comm.StartCmd.Command, "gsutil update") {
+		t.Fatalf("bad command: %#v", comm.StartCmd.Command)
+	}
+}
+
+func TestStepUpdateGsutil_badExitStatus(t *testing.T) {
+	state := testState(t)
+	step := new(StepUpdateGsutil)
+	defer step.Cleanup(state)
+
+	comm := new(packer.MockCommunicator)
+	comm.StartExitStatus = 12
+	state.Put("communicator", comm)
+
+	// run the step
+	if action := step.Run(state); action != multistep.ActionHalt {
+		t.Fatalf("bad action: %#v", action)
+	}
+
+	if _, ok := state.GetOk("error"); !ok {
+		t.Fatal("should have error")
+	}
+}
+
+func TestStepUpdateGsutil_nonRoot(t *testing.T) {
+	state := testState(t)
+	step := new(StepUpdateGsutil)
+	defer step.Cleanup(state)
+
+	comm := new(packer.MockCommunicator)
+	state.Put("communicator", comm)
+
+	config := state.Get("config").(*Config)
+	config.SSHUsername = "bob"
+
+	// run the step
+	if action := step.Run(state); action != multistep.ActionContinue {
+		t.Fatalf("bad action: %#v", action)
+	}
+
+	// Verify
+	if !comm.StartCalled {
+		t.Fatal("start should be called")
+	}
+	if !strings.HasPrefix(comm.StartCmd.Command, "sudo") {
+		t.Fatal("should sudo")
+	}
+	if !strings.Contains(comm.StartCmd.Command, "gsutil update") {
+		t.Fatalf("bad command: %#v", comm.StartCmd.Command)
+	}
+}