Additional features, settings, or issues not covered by specific Microsoft Teams categories
New Teams is not allowing Outlook to display contact status.
If I turn Off "Try the new Teams" and go back to old Teams, then Outlook starts showing contact status.
Here is a potential fix. From the below article about fixing Presence in Outlook it mentions to manually set the registry to "Teams"
HKEY_CURRENT_USER\Software\IM Providers
- Name: DefaultIMApp
- Type: REG_SZ
- Data: Teams
Check your registry, but in my case, I has two entries under IM Providers, so I changed the Data from 'Teams' to 'MsTeams' and that fixed the problem.