@blowdart: Yeah, it's that hard reset of my phone that I'd like to avoid. But concerning my Hotmail address I'd like to change it anyway. I've had it for 10+ years, and it's a really lame name. I've continued with it only because I've got so many things tired to it (vendors, newsletters, etc) that for me, changing it wasn't something I wanted to do. However, this gives me a chance to just push through it and do it. Would it be a good idea to try and secure a Outlook.com email address now, something that I like better, and then see if I can migrate everything over to it (phone included)?
I don't think there's a migration process yet. So your purchases may go walk about.
http://admin.wpcentral.com/guide-switching-your-hotmail-outlookcom lays out what they've found out.