Options for using iPhone 3G and Hotmail Outlook Connector to sync contacts?

I reviewed some posts on this topic and searched other forums, but still have yet to see a real solution to this problem.
I am using Win XP and Outlook 2003 with the Hotmail Outlook Connector to manage my Hotmail account. My default calendar and contacts DB in Outlook is located in the same mailstore as the Hotmail data. This is not POP or IMAP as unfortunately Hotmail requires it's own protocol (Outlook Connector) to manage the email account.
Also Hotmail will NOT allow any creation of a .pst or data file to store data that may be synced with a 3rd party device.
Can someone please assist me with finding a solution so that I can continue to use my Hotmail account, with Outlook 2003 and simply synch my default calenday and contacts data with my iPhone.
Note: I had a client with a similar issue using an HTTP/RPC Exchange mailbox and also an IMAP GMail connection in the same Outlook client. We simply made the Exchange account default and stored all contacts/calendar data there. The iphone synchs this data perfectly and the client and iPhone utilize both mailboxes perfectly.
Outlook Express is not an options for me. Thanks for helping.

Nothing? Anyone?

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