SmashingApps--are they related to the ever excellent Smashing Magazine?--published a list of 13 online tools that help you create and host a site, for free. Not exactly material for professional web designers and high-traffic websites, but still an inspiring and interesting selection.
So here's a question for you: is it possible that free hosting will ever completely displace paid hosting as the solution most personal and small-business users turn to? Is it possible that 10 years from now, a large majority of hosting accounts will either be on free shared hosting servers or dedicated servers?
Yes and no.