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I think the problem with the .mac service is that you can find almost all of these services elsewhere online, for free...
email, calendars, and bookmarks can all be provided for free by google.com...
photos and websites take the form of flickr, photobucket, blogger.com, etc.
The online backup system sounds great, but (and this is off the top of my head), I think that it only has 1-2 gb of storage... I have a 250 gb harddrive at home... what happens to all my other information? how do I choose what gets backed up and what doesnt?
In my honest opinion, as easy and as appealing as the .mac system is, the bottom line is it's $99 a year for something that can be found for free elsewhere...
"They are found ELSEWHERE on the net."
They aren't all in one place. Sure you've got GMail or Yahoo Mail but these don't give you disk space.
You've got Flicker AND YouTube but not both in the same place.
But .Mac has backup software, access to software deals for other companies, free content such as sounds and jingles for GarageBand, and much more.
Tell me of one service that offers the exact same features as .Mac on the Net in ONE place and then maybe I'll accept your arguement.
If not having a couple extra bookmarks is worth $90 / year to you, go for it.
To the people who dont understand the reason why .mac is pretty much an essential part of your mac experience I give you this scenario. Windows users who hear the rumours of a mac, and say why should they spend the extra x amount of money when you get everything on windows - They just dont get it ! They will understand after they've used it for less than an a hour.
.Mac is there from Apple to enrich what you do in iLife, to give the simplest backup solution and a great e/webmail service with the beauty of your mac.
Dont suppose you've noticed that if you or a friend are buying a mac, you get .mac 30% off their website says ;)