From apple.com
Q: Is it true that Apple will begin charging customers for iTools memberships?
On Wednesday, July 17, 2002, Apple notified its customers that iTools will be replaced by a new membership service called .Mac. The membership includes brand new features, like Backup and Virex anti-virus software, and improved versions of the iTools services, like additional email and iDisk storage. The fee is US$99.95 per year, and as a thank you for being loyal customers, existing iTools members can reserve a first year special offer of $49.95. iTools members will have until September 30 to join .Mac. After this time, original iTools accounts will be deactivated.