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Outlook loses connection to Exchange 2003 server

Outlook 2003 - Cached Exchange mode
Exchange 2003

Periodically users will say they are not getting new email, but email is sending ok.

Upon inspection, when this situation happens, Outlook is in a connected state, but rather then saying "All folder up to date" next to the connected icon, it says "Trying to update folders."

It will just sit there until you close outlook and reopen it, then its fine again.  If you do a send/receive, it fails.  Again, after reopen, everything works fine just as normal.

This started happening to a few users at the same time, so I'm thinking server issue, but I'm not really sure here.
1 Solution
Here are few things may be responsible
1) OST
2) Network
Please investigate Network from your network support.
Remove exchange cached mode and see if outlook works fine
if yes remove the OST file and then put outlook to exchange cache mode again
here is the link to remove OST file

I think it might be possible that there isn't an actual problem here.  In Outlook, if a user manually runs Send/Receive, it is doing a full check against the local .pst file against information on the Exchange server.  When it just runs in the background, it is just checking for new changes.  If the users have a big mailbox, it will take longer to do the check.  Take a look at this and let me know what you find.
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