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A Hotmail account is temporarily deactivated (all messages cleared, although not the address book) if the user abandons it for a month or more. It may even be permanently deleted eventually. Hotmail Plus customers (customers who pay for extra storage) are exempt from deactivation.

Hotmail allows its members 2MB of free e-mail space, be it sent or received e-mail. Additional space and POP3 access is also available for a price.

Hotmail was backed by the venture capital firm Draper Fisher Jurvetson and was later sold to Microsoft corporation, which rebranded it under its MSN umbrella. By December 1997, Hotmail reported more than 8.5 million subscribers. [1] By February 1999 it reported more than 30 million active members. [2] Hotmail serves e-mail accounts in many countries. Hotmail is currently the largest webmail provider.