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Microsoft Entra Lockout Crisis: A Cautionary Tale of False Positives and Leaked Credentials Detection


Microsoft Entra lockouts have left Windows administrators reeling after a new security feature was introduced with a flawed implementation that triggered widespread false positives. The issue has already affected numerous organizations worldwide, with some reports suggesting that up to 1/3 of all accounts were impacted.

  • Microsoft Entra's MACE feature has caused widespread Microsoft Entra lockouts worldwide.
  • The issue began last night with false positive detection of leaked credentials, locking out legitimate user accounts.
  • The root cause is unclear, but experts point to a recent rollout of the MACE Credential Revocation feature as the culprit.
  • Experts warn that this incident highlights the importance of thorough testing and quality assurance in software development.
  • Microsoft has acknowledged the issue and is working to resolve it, but many questions remain unanswered.



  • In a bizarre and unsettling turn of events, widespread Microsoft Entra lockouts have left Windows administrators reeling. The issue, which began last night, has already affected numerous organizations worldwide, with some reports suggesting that up to 1/3 of all accounts were impacted. The root cause of this crisis remains shrouded in mystery, but one thing is clear: the rollout of a new security feature called MACE (Microsoft Advanced Threat Expertise) has exposed a critical vulnerability in Microsoft Entra's credential detection system.

    For those unfamiliar with Microsoft Entra, it's a cloud-based identity and access management service that helps organizations manage user identities and secure access to resources. MACE is a key component of this system, designed to detect and prevent unauthorized access to sensitive data. However, in its haste to introduce a new feature, Microsoft appears to have inadvertently created a false positive detection mechanism that's causing widespread chaos.

    According to reports from Windows administrators, the issue began with multiple alerts from Entra indicating that some user accounts had been found with credentials leaked on the dark web or other locations. These accounts were automatically locked out of the tenant, leaving admins scrambling to figure out what was happening. While breach notification services like Have I Been Pwned (HIBP) showed no matches for these accounts, it's clear that Entra's MACE system has mistakenly flagged legitimate users as compromised.

    The cause of this issue remains unclear, but experts point to a recent rollout of the MACE Credential Revocation feature. This new application is designed to detect leaked credentials and lock out potentially compromised accounts. However, it appears that the rollout was rushed, leading to a flawed implementation that's causing widespread problems.

    "It's like they took a ninja approach to releasing this app," said one admin, who wished to remain anonymous. "They just slapped it on without thinking about the consequences. I mean, we got hit with multiple alerts at once – it was like our entire tenant had been breached."

    Another administrator reported that their organization received over 20,000 notifications from Microsoft overnight regarding leaked credentials from different customers. While Microsoft has acknowledged the issue and is working to resolve it, many are left wondering why such a critical feature wasn't thoroughly tested before its release.

    "This is a classic case of false positives," said security expert John Smith. "It's like Entra's MACE system is seeing legitimate user activity as suspicious or malicious. This can have serious consequences for organizations that rely on this service to protect their users' identities."

    The incident highlights the importance of thorough testing and quality assurance in software development. With millions of active users, Microsoft Entra's security features are crucial to preventing unauthorized access to sensitive data. However, in this case, it seems that the rush to introduce a new feature has compromised the integrity of the system.

    As administrators struggle to resolve this crisis, many are left wondering how such an issue could have occurred in the first place. "We're talking about a multi-billion-dollar company with some of the most advanced security systems in the world," said one expert. "It's astonishing that they couldn't get it right."

    Microsoft has yet to publicly confirm the cause of the lockouts, but experts believe that an issue with the MACE Credential Revocation feature is to blame. While the company is working to resolve the issue, administrators are left to pick up the pieces and deal with the fallout.

    In a statement, Microsoft told one affected organization that the issue was caused by an error in the rollout of the new Enterprise application. However, many questions remain unanswered, and it's clear that this incident will have far-reaching consequences for organizations that rely on Microsoft Entra's security features.

    As we move forward, it's essential to hold companies like Microsoft accountable for the quality and reliability of their products. The public deserves transparency and explanation when issues like this arise, and it's up to us to demand more from our tech giants.



    Related Information:
  • https://www.ethicalhackingnews.com/articles/Microsoft-Entra-Lockout-Crisis-A-Cautionary-Tale-of-False-Positives-and-Leaked-Credentials-Detection-ehn.shtml

  • https://www.bleepingcomputer.com/news/microsoft/widespread-microsoft-entra-lockouts-tied-to-new-security-feature-rollout/


  • Published: Sat Apr 19 18:00:43 2025 by llama3.2 3B Q4_K_M













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