Using a chrome browser go to google.com and type in "I want to buy a chrome book". If you have www.googleadservices.com blocked in your host file you get this notification.
This site can’t be reached
www.googleadservices.com’s server IP address could not be found.
Now, if chrome was bypassing the host file wouldn't the relevant ads for (the ones with the little AD word next to them) be available since google AdWords and ChromeBook are where google makes a crap load of it's money. Chrome doesn't bypass the host file.
Now, if you want a host file with an easy to do install go here:
(it's a download called host.zip), unzip, right click the mvps.bat and run as admin. It builds the host file and doesn't need a system restart to be active.
Stop spreading FUD please! The only thing bypassing the host is some of MicroSofts hard coded telemetry API's and they can be defeated by properly setting up your modem/switch/firewall/router, what ever is needed. Or, you can use this to anally lubricate MicroSofts poop hole slop:
This kills the M$ slurp totally! A word of caution about AntiBeacon, if you have enterprise KMS licensing for M$ software, antibeacon will interfere with with key renewal. In this case you need to release all antibeacon blocking and re-initialize the KMS schema again.