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graduated preview stage on February 18, 2013. Existing Hotmail customers could freely upgrade to the preview version of and downgrade back. was first introduced on July 31, 2012, when its beta version was made available to the general public. Outlook is a respectable email service offering a great user interface and plenty of features. The service was later renamed “Outlook” and revamped to reflect this change.

Today, Hotmail is almost unrecognizable from its excellent email service. But Hotmail was the basis of modern-day Outlook we know. Security issues, tarnished reputation of Hotmail, and growing competition might have forced Microsoft to relaunch its emailing services. Featuring more significant storage space, speed, and interface flexibility, Gmail spurred a wave of innovation in webmail. The rise of Gmail was the final nail in the coffin. At the time, it was called “the most widespread security incident in the history of the Web. In 1999, hackers revealed a security flaw in Hotmail that permitted anybody to log in to any Hotmail account using the password ‘eh’. Also, the lower popularity of Hotmail has led to a decrease in ad revenue. The decline of Hotmail was due to its increasing complexity, which has led to a decline in the number of users using it. The downfall of Hotmail and Why Microsoft decided to relaunch today’s Outlook? The roll-out to all existing users was completed in October 2007.

The old MSN Hotmail interface was accessible only by users who registered before the Windows Live Hotmail release date and had not chosen to update to the new service. Windows Live Hotmail was released to new registrations on May 7, 2007, as the 260 million MSN Hotmail accounts worldwide gained access to the new system. The beta development was finished in April 2007.

Still, the developers backtracked after beta-testers were confused with the name change, preferred the already well-known Hotmail name, and decided on Windows Live Hotmail.Īfter a period of beta testing, it was officially released to new and existing users in the Netherlands on November 9, 2006, as a pilot market. This acquisition allowed Microsoft to turn Hotmail into its new primary email service.Īround 2005, the Hotmail brand was planned to be phased out when Microsoft announced that the new mail system would be called Windows Live Mail. In 1999, Microsoft acquired Hotmail and its parent company, “Expidite Inc.”, for $400 million.