Hotmail has announced to give 250 MB of storage for all the free hotmail account users. You can say that google which announced on April 1 that they will provide 1 GB e-mail account has created a lot of insecurity among free e-mail providers for losing their users and switching to other e-mail providers.
Free Users will have 250 MB inbox capacity and can send attachments upto 10 MB. Whereas MSN Hotmail Plus users get a 2 GB inbox storage capacity and attachment size upto 20 MB for a nominal fee of $19.95 annually.
Currently many e-mail providers have switched to large storing capacity.
Few of them are :
Yahoo with 100 MB storage.
Spymac with 1 GB storage capacity
Rediff also with 1 GB capacity.
GMail is under testing phase now which also comes 1 GB storage capacity.