I did this and I can see all my google contacts in my live account online, but they are not showing up on my phone. Already re-synced my live account twice on the phone, but they are not there. I tried to delete the live account but I guess you can't without wiping your whole phone. Did I miss something?
This is because it hasn't yet synced with your live account, I believe the default timer is to sync every thirty minutes. If you force it to sync "as items arrive" on your phone, it should push all the contacts right on your phone. Then you can reset it to "every 30 minutes" or whatever you like.
Edit: I tried this with a Test contact and it worked a-OK, but I added directly to Live, let me know if you are still having issues
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