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Hotmail is one of the popular free 'webmail' email services, which are accessible from anywhere on the planet via a standard web browser. It was founded by Jack Smith and Sabeer Bhatia in 1995, and was commercially launched on July 4th, 1996, Independence Day of the USA, symbolically representing freedom from ISPs.

MSN now offers a service named Microsoft Office Outlook Live. This will offer the latest version of Outlook and updates for a charge. MSN Hotmail users will then be able to use their email accounts (including Hotmail) on it.

On November 18, 2004, Hotmail began offering email addresses from several country-specific domains. Now users can register a @hotmail.co.uk address. MSN had run auctions on eBay for popular addresses and the money had been donated to the NSPCC.