TL;DR: A platform component bug in Azure Local 2601–2604 may cause unintended VM deletion during routine system operations. Customers can and should self-remediate now by running Microsoft's Remediation Support Tool to update the MOC component — do not wait for the inline rollout.
Recommended action:
Confirm your Azure Local instance is on a 2601, 2602, 2603, or 2604 build.
Review the Microsoft documentation for the Remediation Support Tool: Remediation Support Tool for Azure Local infrastructure component issues.
Run the tool per the documented procedure. It updates the Microsoft On-Premises Cloud (MOC) component on your cluster.
After the MOC component update completes, your instance is no longer exposed to this issue.
Why:
A platform component in Azure Local 2601 and later may incorrectly classify virtual machines during routine system operations, which can result in unintended VM deletion. Updating the MOC component closes the gap. Microsoft is also delivering this remediation inline as a managed component update (target: 5/27), and solution updates plus SBE updates are blocked on 2601–2604 until that rollout completes — running the tool now does not interfere with the inline rollout and is the faster path to protection.
Going forward:
No maintenance window is required. The tool is designed for self-service.
Azure-driven VM management operations from the Azure portal (start, stop, restart) may be briefly disrupted while the MOC component updates. The VMs themselves are not impacted.
Solution updates and SBE updates will remain blocked on affected versions until Microsoft lifts the block (tentatively 5/27). Running the remediation does not unblock updates on its own — the block is lifted centrally by Microsoft.
Optional details:
This issue affects Azure Local version 2601 and later. The block on solution updates and SBE updates is a safeguard while Microsoft completes the inline remediation rollout. If you have already applied the Remediation Support Tool, the inline managed component update will be a no-op for your cluster. For Microsoft's published known-issue entry, see: Azure Local known issues.