Hotmail to Be Retired; DSPs to Lose Cheap Retargeted Ad Space

Written on
Feb 4, 2013 
Mike Daly  |

A source close to Microsoft told Adotas last week that Hotmail will soon go the way of the dinosaur and its replacement,, would be free of ads. In response, a spokesperson for Microsoft confirmed the former but denied the latter.

“ does have ads,” said the spokesperson (appropriately) via email. “As always, we put the consumer’s needs and engagement at the very forefront of our ad experience – making sure the ads are relevant, engaging, safe, and make sense in the context of the core consumer experience.

“We continue to host Hotmail for the hundreds of millions of people that use Hotmail,” continued the spokesperson. “Hotmail users who want to upgrade to can do that using their existing @hotmail address. Eventually, we will retire the Hotmail user experience and all Hotmail customers will be upgraded to the experience. Their email address will continue to work; all email, calendar, contacts, and folders will be moved. We think is the best email service in the world; we’ve taken the best of Hotmail over to and we truly believe Hotmail customers will enjoy the upgraded experience.”

Hotmail was among several low-cost, low-performance, high-volume ad spaces that DSPs used to retarget ads on. Its impending retirement will now leave Yahoo Mail to carry the load, likely to Yahoo’s growing benefit.

Oddly enough, The Atlantic reported last summer that Hotmail was the world’s most popular email service, followed by Yahoo Mail and Google’s Gmail.

Mike Daly is an award-winning writer and editor with 30 years of experience in publishing. He began his career in 1983 at The News of Paterson, N.J., a long-since defunct daily paper, where at age 22 he was promoted to the position of Editorial Page Editor. Since then he has served in managerial capacities with several news organizations, including Arts Weekly Inc. and North Jersey Media Group in New Jersey and Examiner Media in New York. His work has been honored on numerous occasions by the New Jersey Press Association and the Society for Professional Journalists.

Reader Comments.

I still remember the first time I received an email from someone that had a FREE email account via something called “hotmail.” It was circa 1992? 93? I was like whooa FREE email!? Amazing.

Posted by VoloMP | 6:27 pm on February 4, 2013.

The question is; … why?

There must be some brilliant marketing reason behind the decision to retire the most popular email service on the planet, but my feeble, media-challenged brain cannot imagine even one advantage.

Posted by Chuckl8 | 11:11 pm on February 4, 2013.

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