The obvious answer is to upgrade my Outlook 2007 which is required by Office/365 by October anyway, but I'm in transition to a new machine and don't have room for an upgrade need to get another couple of months out of this machine. I have to click the icon to 'cancel server request' then it eventually comes back for a short time before the error persists again - all day long.
Typically, when I first start Outlook, it's fine for an hour or so then I get this message. About a month ago I started getting a message: 'Microsoft Outlook is requesting data from the server' in my tray.