Microsoft has now marked this incident as resolved. Thanks for your patience.
Update from Microsoft: The service has recovered for the majority of users. We are performing traffic-management optimization measures to ensure the service recovers for all users.
We've had reports from Microsoft that some users can't access email using Outlook on the web (OWA).
Microsoft are investigating this issue and we will update this post with progress.
The outlook application for desktop and mobiles appears unaffected
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