Microsoft outage update: early signs of stabilisation, but capacity still below normal
Microsoft says it is seeing early signs of stabilisation and recovery from the recent outage, but service capacity remains below normal. It has extended the processing window for delayed emails to 48 hours.

In its latest update on the recent service outage, Microsoft said it is seeing early signs of stabilisation and improvement, though recovery is not yet complete.
Where things stand
- Capacity: service capacity remains below normal levels and services are still unstable.
- Traffic: user traffic is gradually being restored.
- Further steps: the company is reviewing additional measures to reduce the impact and make recovery faster and more stable.
Emails will not be lost
For emails whose sending or delivery has been delayed, Microsoft has extended the processing window to 48 hours so these messages are not dropped during recovery.
Why it matters for markets
The update is a little more positive than the previous one, which said some fixes were not working as expected. Still, a prolonged disruption to cloud and business email services could raise concerns about enterprise customer trust and weigh on Microsoft (MSFT) shares and tech sentiment on the Nasdaq.
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Source: Microsoft service status page
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