Managing personal Outlook.com account settings, security, and privacy
This is 100% phishing scam. Please don't click on any link on the email and don't engage.
A legitimate email from Microsoft regarding your account always comes from domains ending in @accountprotection.microsoft.com
Also, your account is not closed simply because you don't update it. It can be closed if you don't use it for 2 years or more due to inactivities.