Apple is really making it difficult to see the $99/year price for a .Mac account unreasonable. I paid $98 for two-year web hosting with Dot5Hosting and that was the cheapest I could find on the net.
My contract with Dot5Hosting is up in May of next year. I'm seriously considering switching to a .Mac account though I'll be paying twice as much for hosting my website. The features of .Mac combined with iLife '08 can't be beat. At the moment, I'm storing my pictures at Flickr and Photobucket (I rarely use photobucket) and storing my videos at Blip.tv and Youtube. With a .Mac account, I could eliminate all the different websites I use to store my videos and photos. Plus, uploading videos and pictures to my blog will be a snap. No more copying and pasting code! I can't wait until next year.