According to Eudora, you cannot directly access your Hotmail account. However, there are some third-party add-ons that will enable you to do so. http://eudorabb.qualcomm.com/showthread.php?t=747&goto=nextoldest
The link to the FREE add-on is at the bottom of the thread.
Did you go to the Windows download page for FreePOP? http://www.freepops.org/en/download-win.shtml
It looks like all you have to do is download the package and execute it. I don't use Eudora so I don't have a feel for how well this works but the guy who recommended it in the forum seemed to like it well enough.
PS Shouldn't you be using Firefox and Thunderbird since those are the trendy picks now?