Yes, Azure Websites has a free version. The only downsides are that you have limited storage and bandwidth, and that you can't use a custom domain name for you website (so your URL will always be xxxx.azurewebsites.net). You can upgrade to a shared hosting version of Azure Websites, that costs €5~€10/month.

I think it's really awesome stuff, I'm using the free azure website for a couple of tools that I created.