Using Classic Outlook on Windows for personal email, calendar, and contact management
same here as of 06/19/2023. I have had the 2FA for a few weeks now and this happened this morning on my work PC. End the end I removed the account (hotmail). Closed and restarted Outlook. Add New Account and readded the hotmail account. It error coded on the password, however when I selected the 2FA option, I clicked the number sent to my cell phone that matched outlook screen and it worked like a charm.
Crises over.