@thegreger,
The only users that will see ads are those using the free version of New Outlook. If you have a paid Office Subscription you will not get ads.
Not true. I have Office 365 for Business, paid via my company subscription, now called M365. I am also a developer in the Windows ecosystem, so on my lab bench system running Win11 (need to work on latest Win11 dev builds), the "new Outlook" was pushed into the system and I am using it to access my work email and another account, it definitely display ads! Since I cycle through lab bench systems, I don't want to install the Outlook desktop app, which has a 3-device limit per our license. I could, but it's a hassle to go deactivate the license and re-add a new device on a regular basis.
Now, one may argue why don't I just use a browser and access Outlook web interface. It's because these endless privacy-violating features MS has added. Once I try to log into outlook.office.com, Edge intercepted the login attempt and auto-launch the "new Outlook" and want to add my work account to the system as well, which I don't want to. It seems by adding it to "new Outlook", I could avoid having the account added to the system. I suppose another way is just to get Chrome, Brave or other browser that is not connected to the OS under the hood.
And here is the giant mess Microsoft is creating if they ultimately plan to have this single "new Outlook" replacing the free "Mail" client in Win10/Win11, and current paid "Outlook apps", more specifically desktop apps, that are a part of Office 365 (now M365) subscription or an one-time fee one-machine perpetual license. The current app behaves like a normal desktop app and email client. I can use POP3 to download emails from a server, and the transaction comes from the desktop client and my IP address of my computer - it's a native client.
With the "new Outlook", it's essentially a PWA, so any account I add to it will be stored in Microsoft Cloud and it means Microsoft Cloud/Azure will ping the mail server to retrieve the mail using the inputted credentials, then renders it as web content to my "new Outlook" PWA. Microsoft Cloud/Azure is acting as the client, not the "new Outlook" app. At least that's how it is behaving now = acting like the email aggregator feature.