Current restriction on Microsoft 365 (Microsoft Graph API)

Current restriction on Microsoft 365 (Microsoft Graph API)

Alert
Microsoft currently has a known issue updating certain properties of Microsoft 365 groups through the Graph API. Particularly affected are the fields:
hideFromAddressLists
hideFromOutlookClients
These settings control the visibility of a group in the global address list and in Outlook clients.

In addition, the following concrete error messages occur when creating teams via Teamsware platform:
Quote
Failed to execute action 'Status changed to Approved or Update'.
Details:Failed to execute action 'Enterprise/Business Publishing and Templates exist'.
Details:Failed to execute action 'Apply changes if NO Service Deployment started/updated'.
Details:Failed to execute action 'Set Group visibility and guest access'. Details: Group can't be updated Inner exception:
An internal server error occurred. The operation failed., value cannot be zero. (Parameter 'tenant')

Internal exception: Group cannot be updated
Code: ErrorInternalServerError
Message: An internal server error occurred.
The operation failed., value cannot be zero. (Parameter 'tenant')
Status & recommendation

  • Microsoft has confirmed the bug and is working on a solution. Similar problems occurred in January 2025 and were fixed on the server side.
  • Currently there areNo workaroundExcept not to set the affected characteristics.
  • The workspaces are still created completely, only the Outlook setting cannot be set, please check manually afterwards
  • If creation fails, it is not due to the configuration of the Teamsware platform, but a temporary restriction in Microsoft 365.

Idea
Current status: As of today, the problem has been fixed (as of 14.01.2026).

Further information

Microsoft is working on fixing the problem. Details can be found in Microsoft's official posts:
https://learn.microsoft.com/en-us/answers/questions/2150770/update-group-throws-error-when-updating-hidefromou
https://learn.microsoft.com/en-us/answers/questions/5704895/graph-api-group-update-throws-error-value-cannot-b

What happens?

For automated processes that set these properties (e.g. B. Errors may occur in the project creation. The API returns an error message indicating an internal server error:

ErrorInternalServerError
Message: An internal server error occurred. The operation failed., value cannot be zero. (Parameter 'tenant')
Impact
  • Project creation or team creation may fail if you want to customize these fields immediately after creation.
  • The problem is not the configuration of the Teamsware platform, but a current limitation on the part of Microsoft.

Note for administrators:

The permissions and API calls are correct 🙂 the problem is a Microsoft-side bug. We recommend that you temporarily catch up with visibility control manually or later once the API is stable again.

What is the problem?

  • At onePATCH requestThe graph API withApplication PermissionsFails to update these fields.
  • The problem occurs regardless of whether the correct permissions (Group.ReadWrite.All...Directory.ReadWrite.All) are set.
  • Delegated permissions (e.g. B. Graph Explorer) partly work, but automated processes with app permissions are affected.