When you are trying to configure Office 365 in Outlook 2010 there is a change the ‘anonymous’ security setting is missing. This will result in a setup faillure when trying to log in to office 365 account. So you can’t setup office365 via either autodiscover or manual.
To resvolve this issue i did the following:
1. Install SP1 for Outlook 2010.
3. Install this patch:
4. Install this patch:
When you try to configure office 365 in Outlook 2010 it will work!