I'm having the same issue on non Domain (Workgroup) PC's. Outlook 2016 connected to Office 365 and OneDrive for business.
It manifested itself initially with an Outlook error. Cannot start Microsoft Outlook. Cannot open the Outlook Windows. The set of folders cannot be opened.......etc.
I decided to create a new Outlook profile for the user and at this point got the error the OP posted.
I was able bypass the error and complete the creation of the new profile without issue. I have to say that nothing has changed on these PC's and that is the very first time I have seen anything related to TPM when setting up Outlook 2016. These PC's have
been running Outlook 2016 for approx 8 months so strange that this occurs now.