How do I fix my iPod touch's problem with hotmail outgoing mail server?

Question

I have just received a new replacement iPod touch 8Gb.
On my old model I used the house wifi network to connect to HOTMAIL in the mail app it would set the account up immediately and work perfectly.
This time, when I tried to set the account up I had a long delay while it verified account details. Then after opting to set up account without using SSL an account was generated with an error message to say I may not be able to send or receive mail.
Incoming mail is OK, outgoing is not working.
The error message told me that I needed to configure my outgoing mail server.
My default outgoing server is set to smtp.live.com and works on port 587.
I have an additional server set to 'on', which is also smtp.live.com working on port 465, which was set up when I tried to alter the port number on the default server. Still no outgoing mail.
Any suggestions?

Answer 1

Followed your instructions and again, account verification failed using SSL.
I chose to create without SSL and got the following message:
'The SMTP server 'smtp.live.com' is not responding'. I accepted the details,
the email Inbox populated, and everything looks normal.
Same error is occuring:
'Connection to outgoing server 'smtp.live.com' failed. Additional outgoing mail servers can be configured in settings>mail,contacts and calendars'
The settings are as follows:
Incoming mail server
Host Name: pop3.live.com
username: is correct
password: is correct
Outgoing SMTP:
Primary server
host name: smtp.live.com
username: is correct
password: is correct (has been re-entered just in case)
Use SSL: OFF
Authentication: password
server port 587
I have duplicate SMTP servers listed under 'Other SMTP servers' with exactly the same details as above so it seems as if the iPod is retaining some settings even after I delete account.
Also, I wonder if there is anything I need to get the network administrator to do, because he did ask for the Wi-Fi address of my previous iPod touch could it just be a case of allowing it as a specific device on our network?