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Yahoo [announced yesterday][2] that it will begin offering free unlimited storage for its web-based email service. Yahoo's unlimited email storage offer trumps the other major web-based email providers. Currently Google offers upwards of 2.8 GB and Windows Live Hotmail offers 2 GB.
The changes in Yahoo Mail will not take effect until May, in the mean time the current storage limits for your mailboxes remains at 1 GB.
Just to put things in perspective, When Yahoo Mail launched 10 years ago, the storage limit was 4MB.
John Kremer, VP of Yahoo Mail, said in a press release, "we’re psyched to be breaking new ground in the digital storage frontier by giving our users the freedom to never worry about deleting old messages again."
Kremer also notes that there are "anti-abuse" limits in place to "protect" users. While Yahoo hasn't given any details it seems reasonable to expect that this doesn't mean unlimited online storage space. While it's certainly possible to backup some of your files via Yahoo email, to the best of my knowledge there are no archiving tools like [GMail Drive][1] for Yahoo.
Still, despite the limits, any escalation in storage is good for consumers -- more space is almost never a bad thing. Unfortunately Yahoo doesn't offer POP or IMAP access for its free accounts. While POP services are available for Yahoo Mail, you'll need to pony up for a premium account, whereas GMail gives POP access for free.
With 250 million users, Yahoo Mail currently has the largest user base of any email provider on the web.
[1]: http://www.viksoe.dk/code/gmail.htm "Gmail Drive"
[2]: http://yodel.yahoo.com/2007/03/27/yahoo-mail-goes-to-infinity-and-beyond "Yahoo Mail goes to infinity and beyond"
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