Setting up Exchange for Hotmail on your iPhone will allow you to keep your contacts, emails, and calendars wirelessly synced between your iPhone and the cloud.
According to LiveSide, Microsoft Exchange ActiveSync support has not been officially launched but it does work for certain people.
How to install Hotmail via MicroSoft Exchange on the iPhone:
Step 1: On your iPhone, go to Settings > Mail, Contacts, Calendars > and create a new Micorsoft Exchange account.
Step 2: Enter the following information:
Server address: m.hotmail.com
Step 3: Go to your mail.app and you should see your new Hotmail Exchange account.
As I said above, it doesn’t work for everyone. It didn’t work for me but it did work for a friend of mine. It’s kind of a hit or miss. The good news is that Microsoft said Hotmail will support Exchange later this year.
Let us know if it works for you.