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iPhone and iPod Touch use built-in ActiveSync to sync email, calendar, and contact data via direct push with Microsoft Exchange. Although Apple has implemented a number of Exchange functions on the iPhone, it has not included all of the features found in Outlook or on Windows Mobile devices. The following is a list of some of the known limitations of iPhone OS 3.0 ActiveSync.
Only inbox email is "pushed."
Other mail folders will download when clicked (note that this may cause an annoyance for users who have server-side email filters enabled).
Cannot set out-of-office auto-replies.
Message flagging is not supported. This means that basic reply and forwarding flags will not sync to the server and you cannot mark messages for follow-up.
Meeting attendee status is not available.
Cannot delete a single occurrence of a recurring meeting.
When responding to meeting invites, there is no option to edit response or not send a response.
Cannot reply or reply-all to meeting invites.
Cannot "snooze" meeting alerts.
Syncing of tasks is not supported.
Cannot schedule ActiveSync (i.e. disable push) to limit battery consumption.