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 | You got this right, it's one of the first free hosted pages by Microsoft, they also give a free domain name during beta. You get 30 megs of space and 10 Gigs transfer, 5 big email adresses - all this for free! Too bad I can't put google ads on these pages (and you don't get FTP - just the free editor) I left some of the pages default ...I even put a screenshot of the editor :D 
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You need Internet Explorer and some activeX stuff to work on the pages
The page where you can signup for free hosting and domain(USA only ...I think) : http://officelive.microsoft.com/WebHosting.aspx
Want to drop me a mail? use the contact form on the contact page or siropel at siropel dot net
I would really like to hear from you if you got your domain and hosting from Microsoft. You can also visit my blog and my link directory (links at the bottom)
Other than this, I use DREAMHOST (aff) to host my pages