Microsoft 365 experienced a service disruption on 23 June 2026 that prevented users from encrypting documents, acquiring content licences, or opening previously protected files. Multiple M365 services were affected across the disruption window.

• What happened: A service incident on June 23 impacted Microsoft Information Protection (MIP) features — including sensitivity labels, rights management, and encrypted email — across M365 apps and services.
• Who was affected: Businesses using M365 sensitivity labels, encrypted documents, or Azure Information Protection (AIP) to protect files and communications. Users reported being unable to encrypt new content or open existing protected files.
• What the risk was: This was a service availability incident, not a security breach. No data was exposed. However, staff relying on protected content workflows — including legally or contractually required document encryption — may have experienced business disruption during the outage window.
• What to do: The incident appears to have been resolved. Check whether protected files are now fully accessible. Review your Microsoft 365 Admin Centre under Service Health for any active advisory notices (prefixed MO or EX). If encrypted files remain inaccessible, contact your IT provider.

If your business depends on sensitivity labels or encrypted communications, we recommend reviewing your continuity plan for periods when encryption services are unavailable and ensuring staff know how to escalate quickly.