On April 3, 2013, Outlook.com (a newer webmail service by Microsoft) deprecated Hotmail.
Transition to Outlook.com 
Main article: Outlook.com
On 18 February 2013, Hotmail was deprecated in favor of Outlook.com, a new webmail service by Microsoft introduced on 31 July 2012. Existing Hotmail accounts were changed to Outlook.com on April 3, 2013.
Outlook.com is a new service that runs alongside Hotmail. Eventually all Hotmail users will be upgraded to Outlook.com. Although we are encouraging our Hotmail users to upgrade, you don’t have to do so.
You can try Outlook without a new account and without changing your username/password – just use your @hotmail.com account to log into http://outlook.com. It’s important to remember that, no matter when you upgrade, your @hotmail.com address will always work. When you upgrade, you will be able to send/receive mail and you will retain all your mail, contacts, calendars, and rules.
Hotmail accounts become inactive if you don’t sign in for more than 270 days or within the first 10 days after signing up for an account. After an account becomes inactive, all messages, folders, and contacts are deleted.