All Windows Live Hotmail accounts can be used with Microsoft Office Outlook 2007 or Office Outlook 2003, regardless of whether you use a free or paid Windows Live Hotmail account. To access your Windows Live Hotmail account with Outlook, you must first install the Microsoft Office Outlook Connector for Windows Live Hotmail.

Learn about the Microsoft Office Outlook Connector
The Outlook Connector enables you to use your Windows Live Hotmail, Windows Live Contacts, and Windows Live Calendar within Outlook.
You can view and edit your Windows Live Calendar in Outlook, however, your Outlook …