I want all of you to know that in most countries in Latinamerica that never happened. The reason? I guess there must be more than one, but I believe the most important is that MSN has been selling Hotmail Max in Latinamerica for some time.
Hotmail Max is a paid (cheap) service that enhances Hotmail basic services in various ways, includding storage capacity.
No matter how successful they have been on this, companies that decided not to discriminate the Latinamerican market like Google and Yahoo are getting a larger stake of it everyday, and I hope MSN will revise their plans with the upcomming version of Hotmail.
Apparently everybody else will get now 2 GB wich is on pair with GMail. Good! But I don't believe it until I see it on my mail box.
A note for those that tend to see evil on everthing Microsoft does: Microsoft believes in selling software and services. That pays their bills. They don't completely buy, as of yet, Jonathan Schwartz's "Free software is like TV" model. When they decided to give out Internet Explorer for free and later to bundle it with the operating system, they did it because they had no other chance. Everybody else was doing it already.
Hotmail has been an exception. They bough a free email company, and they saw the value of it. But don't expect them to give you something for free just because you think it is cool.