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Originally Posted by Online Marketing Services
Free hosting space but with additional features (so not just x amount of space and x amount of bandwidth). The additional features are financed through ads on the free host pages.
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Yeah, this one is pretty common, but for instance the one I posted above (hostinger) they do not have any ads and they provide good features for free + they even pay around $1 per free referal. And they expanded pretty nicely, somehow.