Microsoft 365 Alert – Service Degradation – Exchange Online – Users may be unable to create or edit Ownerless Groups policies in Exchange Online– ONGOING

Announcements Shagufta Naaz

05/03/2026 10:02:00 AM

NHSmail Reference: INC46765268

Microsoft Reference: EX1243339

Issue Status: ONGOING

Issue Description: Users may be unable to create or edit Ownerless Groups policies in Exchange Online.

Current Update: 05/03/2026 10:02:00 AM –Microsoft has determined that a recent update to the authentication flow is causing the call to the Directory Services API (DSAPI) to update Ownerless Groups policies to fail due to outdated authentication flow mapping, resulting in the impact. We’re deploying a solution to update the flow mapping for this call and we’ll provide a timeline for remediation as one becomes available.

Scope of impact: Users attempting to create or update Ownerless Groups policies in Exchange Online may be impacted. This section may be updated as our investigation continues.

Root cause: A recent update to the authentication flow is causing the call to DSAPI to update Ownerless Groups policies to fail due to outdated authentication flow mapping, resulting in the impact.

Next update by: Tuesday, March 10, 2026, at 7:30 AM UTC