A recent Microsoft Outlook update kb2553248 causes one or both of the following connection errors with Outlook connecting to onsite exchange servers.

other posts on the issue:

http://blog.minkatec.com/?p=470&utm_source=rss&utm_medium=rss&utm_campaign=outlook-2010-insert-a-smart-card

http://social.technet.microsoft.com/Forums/en-US/outlook/thread/0bcceceb-f766-4ca0-9cd2-a1ab139bcc05

http://www.experts-exchange.com/Software/Office_Productivity/Groupware/Outlook/Q_27671193.html

 

For now, uninstall the update and block ( or “hide” the update in windows update) to solve the problem.

 

 

 

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