Yahoo Mail and Hotmail to Follow GMail’s 2 Gigs?
Yahoo last week announced their plans to upgrade the free Yahoo! Mail accounts to 1 GB. This was the third such update in the last year itself. They started with 100 Megs than went to 250 Megs and the latest matched Google’s original offering in GMail with 1 GB. Microsoft’s MSN Hotmail however remains on 250 Megs. My personal hotmail account is on two Meg still is another issue.
Both Yahoo! and MSN offers paid accounts to users with 2 GB storage space. With today’s upgrade on Google’s GMail, that is matched by this free service! Of course, Yahoo! and Microsoft have extra offerings in that paid package. However, it is still very much about webmail and the huge storage capacity. GMail in addition already allows POP and SMTP on their accounts.
All of this simply nullifies most of the services, which brings in revenues for the competition. And with Google almost promising that they are looking forward to bring infinite web storage space for e-mail, more bad news is in store for them. Google has gained an enormous reputation on the web for not being ‘evil’.
Yahoo and Hotmail definitely have to think fast. Google dominates search and what they are working on next is anyone’s guess. The competition is struggling to compete while Google works on the next big thing. What can they do? That is the million-dollar question.