Here is the latest update from Microsoft:
"Title: Users may be unable to access their mailbox using any connection methods
User impact: Users may be unable to access their mailbox using any connection methods.
More info: Impacted connection methods include, but may not be limited to:
- Outlook.com
- Outlook Mobile
- Outlook desktop client
Current status: We’ve begun a broad expedited deployment of the configuration change across all affected infrastructure. We expect most impacted users will experience relief within the next two hours, as the fix saturates the environment. We’re closely monitoring service health telemetry to ensure the recovery continues as expected. We understand how impactful incidents of this type can be, and we're continuing to open any additional workstreams to expedite recovery and restore availability.
Start time: Wednesday, July 9, 2025, at 10:20 PM UTC
Next update by: Thursday, July 10, 2025, at 6:30 PM UTC"