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Will running an Azure website on a subdomain of azurewebsites.net hurt SEO compared to buying a domain?

When hosting a website on azure websites I have two options: Be a cheapskate and go for the free option without a domain. I would then setup web forwarding with my domain registrar from my domain to ...
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Do web crawlers/spiders index azure web sites?

For somebody who wants their web site to be as discoverable as possible (and who doesn't?), are Microsoft's Azure web sites (azurewebsites.net) a feasible domain to host sites? I have a site that is ...