If you are trying to add your Outlook.com (formerly Hotmail.com) e-mail account to your Droid, the first step is to stop trying to go through Settings. This is where I was beating my head against the brick wall. There is no need to choose POP or IMAP or know the server port.
Instead, go to your list of apps and select the Mail App (an envelope icon). Tap the menu button in the top right corner. Then select Add Account. Then select Microsoft Exchange ActiveSync.
The default info is not correct. Change it as follows:
- Server address: s.outlook.com
- Domain: <leave empty>
- User name: Your email address
- Password: Your password
- TLS/SSL encryption required: Yes
This worked like a charm for me. I found the info on Microsoft's website, but it is easily overlooked if you don't understand what you are asking, as was the case with me.