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Using Office365 Email for my GoDaddy domain (hosted elsewhere)

Sounds simple enough? 
We have purchased a domain on godaddy, together with the email service with one account for this domain. 
I have setup a webserver on AWS and pointed the domain name to it - website up and running, sorted.
Now, all I want to do is to setup the webserver to use my purchased office365 account for sending emails - sounds simple enough - should be just typing in SMTP access login details for this to work I presumed, having setup other webservers with other office365 accounts in this way.
After thrawling through pages and pages of info on forums and google about this, I am left utterly frustrated and confused.  Why is this so hard to setup?
Online info points towards 2 resolutions, neither of which do I want to use - using localhost's sendmail functionality to deliver email - easily rejected by most reputable mail services (I have tried adding it to my SPF records, however outlook still rejects). - This essentially circumvents the office365 mailservers and just sends from the host IP, the one running PHP. Why am I even doing this when I purchased an email mailbox?
Using secureserver relay - does this even work? I have tried changing SMTP sending details on my AWS server to use, however email does not want to go through.  I presume this only works for servers hosted under godaddy.
I have tried using localhost to deliver email as instructed in most of your guides, however whilst this does work for most cases,  sending an email to my personal hotmail is rejected completely by MS mail servers - due to the fact o465 is circumvented. 
I believe SMTP credentials is the only way to ensure o365 mailbox is used by the website for sending emails.  
Does a resolution for this exist? Or should I have simply done what I wanted to do at the start - go with office365 directly and then enable SMTP on the mailbox and punch the credentials into my webserver?


ah, forget about it, in time its taken me to write the original post I've managed to get my mails setup with Zoho. Decided to use that as the MX servers, saw I already had an open account on there - was going through about to purchase an email account, saw a little "get 1 account for free" button. Clicked on that, 5 minutes in I setup my DNS on godaddy to point to zoho, went through their online setup and after checking their SMTP details page online I had my website enabled to send emails using Zoho mail servers. 5 minutes it took. Proper sending mail as it should do, spf, setup too. Dkim on the way. I've been faffing with this for several days trying to get office365 working in the same manner. Unfortunately I will be cancelling the email package on my godaddy acconut and only keeping the domain. 



There are 2 issues here neither of which are GoDaddy persay

1) Office365 & SMTP - I see many posts of people saying I want to do XYZ with Office365 & SMTP and it isn't working (purchased through GoDaddy and not) - The issue is while Office365 does have an SMTP connector generally speaking most doo not recommend using this - as it's not the same as just an old POP/IMAP/SMTP - Office365 is Microsoft Exchange which has it's own set of protocols and built in features and using the SMTP functionality bypasses some of that.


2) Amazon Hosting - While Amazon hosting does support using remote SMTP servers - It is generally recommended / best practice that you use the Amazon Simple Email Services (SES) to send email from the server. If this is a WordPress site there is a plugin called FluentSMTP which actually uses the Amazon API connection - this is generally seen as a more secure way to send messages via Amazon Servers

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Thank you for the quick response @PL281 .
Indeed, I would hazard a guess that 99% of people buying a domain together with email service would want to use that domain on a website, and would also like the website to use the purchased email service to send emails. This should be a no brainer. 
Im fully aware of office's reluctance to expose the SMTP, and understand why - spam. However this should not cause those purchasing an email service to have to use an alternative for their website's email delivery. 
Having setup postfix myself which does deliver to hotmail's inbox without triggering the spam filters Im fully aware of pitfalls and hurdless along the way.  Having purchased the godaddy email service for a side project I thought the process  of marrying the website to use it would be simpler. Perhaps if godaddy introduced an online wizard for those wishing to integrate their website's email service would work better (or gettting 365 to enable smtp by default for godaddy accounts)
Zoho seems to have it pretty sussed out - the wizard took me through setting up and verifying the spf/dkim/dmarc set of records.  5 minutes. When i sent the first test email from the webserver after setup I really did not think it would work immediately. 
Yes, I understand AWS will also have PTR records for the domain which needs setting up, something I still need to do, but for the most part a much quicker process - due to zoho exposing their SMTP setup details online to peruse. 


Thanks for suggesting Amazon SES, something I havent explored yet.