Microsoft Saying Goodbye to Hotmail

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By Paul Ausick Published
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Microsoft Corp. (NASDAQ: MSFT) announced today that it is converting its long-time Hotmail web email to another long-time Microsoft brand: Outlook. The new brand, outlook.com, will tie the company’s industry-leading office Microsoft Office software suite and its Outlook professional mail program. The newly named program will still be free.

The intent of the change appears to be to bring a heavier gun to bear on Google Mail, the free web-based mail program from Google Inc. (NASDAQ: GOOG) and similar email services from both Apple Inc. (NASDAQ: AAPL) and Yahoo! Inc. (NASDAQ: YHOO). Microsoft acquired Hotmail, the first web email application, in 1998 for about $400 million, and the service has about 350 million active users today.

As Microsoft moves more toward the modern cloud-based model with the coming release of its Windows 8 operating system, the company will offer its Office suite of products under another new name — Office 365 — which will be available for a subscription fee in an online version. A full version of the Outlook mail program is expected to be part of Office 365.

The new outlook.com mail program is available in a preview edition today.

Paul Ausick

Photo of Paul Ausick
About the Author Paul Ausick →

Paul Ausick has been writing for 247Wallst.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.

He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.

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