Here's another disadvantage to being an "ugly American:" You can't set up your Hotmail account to be a POP3 server for your iPhone.
Now, if you live in, say, the United Kingdom, Canada, Australia, France, Japan, Spain, Germany, Italy, or the Netherlands, no problemo. Okay, less problemo; here's the technobabble, straight from SoftPedia:
"First off, the POP server needs to be pop3.live.com
(port 995), while the SMTP server is smtp.live.com (port 25). Users
will have to provide their full Windows Live ID (email@example.com),
and then the password that they have associated with the account. They
have to bear in mind the fact that the Windows Live Hotmail POP3
service must use Secure Sockets Layer (SSL) both with the POP and SMTP
connection, as well as take advantage of SMTP authentication. Thus,
users will have to specify that POP SSL and Authentication are indeed
required, with the same being valid for TLS/SSL."