Microsoft has acknowledged a new issue that causes authentication errors on the server or client computers for some Windows services. The company has posted on the Windows Health Dashboard confirmed that it is actively investigating the bug and that a permanent fix will be available in the upcoming release.

The first bug reports started to surface earlier this week, with several Windows administrators reported that some Network Policy Server (NPS) policies did not work after installing the May 2022 Patch Tuesday Updates. NPS policies allow IT professionals to create organization-wide network access policies for authenticating connection requests.

The Reddit reports suggest that authentication fails with the following error message: “Authentication failed due to a user credentials mismatch. Either the username provided is not associated with an existing account or the password was incorrect.”

Microsoft has confirmed that this issue affects Windows Servers machines listed as domain controllers is used. However, it does not affect non-domain controller Windows servers and client Windows devices.

“After installing updates released on May 10, 2022 on your domain controllers, you may see authentication errors on the server or client computer for services such as Network Policy Server (NPS), Routing and Remote Access Service (RRAS), Radius, Extensible Authentication Protocol (EAP) and Protected Extensible Authentication Protocol (PEAP). An issue has been found regarding how the assignment of certificates to computer accounts is handled by the domain controller,” the company explained on the Windows Health Dashboard.

Microsoft offers a workaround to resolve AD authentication issues

Microsoft has also provided a number of workarounds to help IT administrators resolve this issue. The company recommends that customers use manually assign certificates to a computer account in Azure Active Directory. Microsoft has also provided additional solutions for environments where the above workaround does not resolve the issue, and you can find more details in the SChannel Registry Key section of this support page.