Microsoft Live Custom Domains are now shutting down. I have been using this service for e-mail hosting for all my Microsoft Azure Websites, but now it is gone and no viable repl
I have found the same problem myself.
The only alternative in the past would have been to use Google's equivalent service, but they have also stopped it.
Realistically, there isn't a free answer to using custom domains with emails that I am aware of. Both Microsoft and Google offer paid for services, but cost per user/mailbox, per-year - compared to their free services this is a big jump in price.
Google charge £33 per user/mailbox, per year. Microsoft are slightly dearer at £39 per user/mailbox, per year, but include access to online versions of Office for each user too.
For my situation, the Microsoft route may be the better option, based on my customer preferences but I am sure that the Google service is equally adequate.
Hope this helps. (But let me know if you find a better alternative!!!)
First of all you need to identify how much and what all services do you need?
If it is just an IMAP/POP3 Email Box, then best option is a Virtual Server or Virtual Machine with cpanel, once installed with daily backup runs good for years, you get unlimited email accounts and unlimited space !!! You can increase your VM dynamically up when you need it. Drawback is, it takes little maintenance once in a while. But most likely cpanel auto update is very stable and I have VPS running for 5 years and every year we are just increasing our disk space.
If you want calendar along with live docs editing etc, then you have to go with Google Apps which is cheaper then MS Exchange. But if you need strict Exchange kind of services, then you will have to go with hosted Exchange.
I will not recommend spending money for Rackspace or any such Cloud Email which is priced per user, which is total waste of money as they do not offer anything apart from linux server with cpanel. Those services are only for non IT people. Since you have already asked question on Stack Overflow, you can easily setup and manage cpanel based linux OS.
How many real people do you have reading e-mail? As many as you got mailboxes? If not, then I really suggest you go for Exchange Online from Microsoft which goes for $4 per user (not mailbox) per month.
The trick is, that once you've set up your domains, you create a Shared Mailbox
through PowerShell and while doing so, you give the real people (you pay for) the rights to read and send as
. The cool thing is, that the user does not need to do anything. The mailbox simply appears in their Outlook.