Its beta.
Or, Apple may be cracking down on the way Host files are used to fake activation for pirated software.
Missed the memo that the "It's a beta" mantra has commenced. Guess we should all crawl under a rock until the final release.
The hosts file is located on every single operating system out there. I really don't think Apple is all of a sudden ignoring it because thieves out there want to steal software. It has a pretty important purpose which is beyond this thread.
Sure, it there can be a bug in 10.10 that causes the entries to be ignored. Or possibly it has moved somewhere from the normal location found on every UNIX based OS (private/etc/hosts). But that is the point of my question and hopefully discussion.
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Mine seems to behave as expected. I do a lot of local web development, so I edit my hosts file all the time.
I did have some issues with my Apache configuration due to Apache being upgraded from 2.2 to 2.4, but I was able to resolve these.
See! Believe it or not.... not everyone is a pirate!
Thanks for the reply. At least I know it's still where it's supposed to be.