Apple has not stated it officially but an email conversation claims that Apple would discontinue their iWeb service with the launch of iCloud later this year.

Apple iWeb enables the users of iLife suite to create web pages and host them on their MobileMe account.

Apple has already stated that MobileMe is being replaced with iCloud. And iWeb is apparently not getting a replacement.

We are not sure if this means that all existing iWeb sites and web pages would be removed from the web.