Luke KehoeOoklaDowndetectorMicrosoft Corporation

Microsoft 365 outage drags into day two as Outlook issues persist; company says mitigation actions are continuing to progress

Microsoft 365's outage extended into a second day as Outlook users continued to experience issues stemming from a misconfiguration in authentication components. While Microsoft reported progress in mitigation efforts, service restoration remains incomplete, with users still facing email delays and degraded functionality across multiple services.

TechCrunch TechCrunch+1 source1 September 2026 · 22:20 UTC
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Microsoft 365's outage has entered its second day, with ongoing issues affecting Outlook and other services due to a misconfiguration in authentication components.10

Microsoft reported that while service availability is improving, it has not yet declared a full resolution. The company stated, “Our mitigation actions are continuing to progress within the remaining affected infrastructure.”

Users have reported various issues, including email delays and degraded functionality, with 37% of users facing problems receiving messages and 23% struggling with the app. Downdetector noted a spike in reports, with over 130,000 user reports on Monday, significantly above the normal baseline.

By Tuesday morning, reports had decreased to fewer than 550, indicating some recovery. Microsoft acknowledged the disruption, stating, “We know this is disruptive for customers and we appreciate their patience while we work to restore services as quickly as possible.”

The outage has also impacted other Microsoft services, including SharePoint and Teams, attributed to the same authentication configuration issue. Microsoft is now in a period of extended monitoring to ensure a complete resolution.

As users await full service restoration, many are still experiencing slow performance and functionality issues, with reports of Outlook freezing and requiring multiple reloads.

“Just acting kind of slow here in Iowa,” one user reported, highlighting the ongoing frustrations faced by many.

Microsoft continues to provide updates on the situation as it develops.

Key Insight
“Downdetector logged over 130,000 user reports on Monday, roughly two orders of magnitude above baseline, with issues spread across receiving mail, sending mail, login, and the app. Microsoft attributes the problem to a core authentication configuration used by multiple services, including SharePoint, Teams, and Copilot.”
CuriousCats studied:
1
TechCrunchTechCrunch
“Microsoft’s efforts to fix what is now a and other Microsoft 365 services are entering day two. The company made significant progress in addressing the problem on Monday, after an issue impacting its Exchange Online service led to email delays and failures, authentication issues, and other problems for some Outlook users. But as of Tuesday, the issues still are not fully resolved. Instead, Microsoft’s latest update says its “mitigation actions are continuing to progress,” which isn’t exactly the same as saying “all is well.””
TechCrunch →
2
CNET
“To the dismay of workers everywhere (wink, wink), Microsoft Outlook kicked off the work week with a major outage that left thousands unable to use the email service.”
CNET →
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