Microsoft service outage hits Teams, Outlook and SharePoint while halting new feature rollouts

A widespread outage began just after 10:30 a.m. ET on the U.S. East Coast, knocking out several Microsoft 365 services in North America, including Teams, Outlook, OneDrive, SharePoint and Xbox Live. The incident, logged under MO1437424, generated more than 6,000 complaints on Downdetector, with SharePoint accounting for roughly 78 % of reports. Microsoft said the disruption was due to internal traffic‑routing issues and ruled out a cyber‑attack. A critical SharePoint vulnerability (CVE‑2026‑50522) with a CVSS score of 9.8 was also highlighted, underscoring the need for rapid patching.

In a separate but related move, Microsoft announced it is pausing the rollout of two planned enhancements: an @‑mentions search feature in Teams and Copilot‑powered suggestions in Outlook search. The company gave no explanation for the delay, suggesting an internal reassessment of AI‑driven functionality. Users of the affected services will not see these features until a future date, pending further evaluation.

Both developments reflect broader challenges for Microsoft in maintaining service reliability while integrating advanced AI capabilities across its collaboration platform.