CNN is reporting that Hotmail will be increasing its memory for free account holders from 2 megabytes to 250 megabytes beginning in July. Why the big change? Competition. Google is preparing to launch G-Mail, a free service that will provide 1 gigabyte of free storage. Thanks to a technologically savvy friend, I am actually a beta tester of G-Mail. In addition to the added memory, it uses google search technology to allow you to search through sent and received emails.