Note: These steps to integrate Outlook and SharePoint Foundation 2010 contacts, best work with IE 7 or higher.  SharePoint Foundation 2010 works best with IE 7 or higher.  Under test conditions we used Outlook 2007 and Outlook 2010.

Note: Please ensure that you have access and right permissions to the relevant section in the SharePoint site.  In this case, the right Lists and Contacts.

1.   Login into your SharePoint Foundation Site.
2.   In the Quick Launch Section click on desired Contact label under the Lists section.
3.   Goto List-Connect to Outlook.  This is located at the top in the Ribbon.
4.   If you get an IE Security Warning; click on Allow.  This is by Design.
5.   Your mail mail client will open and prompt you for credentials.  Enter your credentials.
6.   Click on Yes for the Security Information from Outlook.  This is by Design.
7.   Your SharePoint Site contacts will appear and will be fully synchronized.

Related Links:

Outlook Web App

Hosted BlackBerry

Hosted BES

Dedicated Exchange Server

Managed Exchange Server