I haven't found a solution, as I have to use off-line folders (personal folders) and it's the synchronization of those files that cause the lockup. So I have to kill SETIDRIVER, do my thing in Outlook, then I have a shortcut to restart SETIDRIVER. I have changed my synchronization to take longer between synchronizations, and that helps, as I can get in and work until it tries to synchronize the off-line folders. Then I have to kill SETIDRIVER.
If there is a workaround, I'd be interested too.
If you don't need off-line folders or personal folders, get rid of them, and I think that Outlook works fine then.