Microsoft Addresses Windows 11 Update Issues for January 2026, Provides Fix for Several Problems

Recently, Microsoft acknowledged several critical issues stemming from the Windows 11 January 2026 Update. Among the reported challenges, a significant bug has surfaced that disrupts the ‘Shut down’ function on older PCs utilizing version 23H2 with specific features activated. Although this issue is considered rare, other problems such as failures during Remote Desktop logins and freezing incidents in Outlook are more widespread and affecting numerous users.

On January 13, Microsoft pushed several updates as part of their January 2026 Patch Tuesday rollout:

Windows Server 2025 (KB5073379)
Windows Server 2023 (KB5073450)
Windows 11 25H2 (KB5074109)
Windows 11 23H2 (KB5073455)
Windows 10 ESU (KB5073724)

Key Issues Acknowledged by Microsoft in January 2026 Update

Microsoft has publicly confirmed at least three pressing issues with the January 2026 Update that warrant user awareness:

Failures in Remote Desktop Connections.
Problems hindering proper shutdown for Windows 11 23H2.
Crashes occurring in Outlook Classic.

Impact on Remote Desktop Connections

Following the installation of Windows 11 update KB5074109 (25H2) and accompanying updates, reports emerged regarding failed Remote Desktop connections initiated through the “Windows App.” Users encountered authentication failures immediately upon attempting to connect, as the credential prompt workflow broke down.

The failure occurs prior to session establishment, indicating that user data remains unaffected. This issue appears to be directly related to the Windows App’s functionality, which is responsible for initiating the Remote Desktop Protocol (RDP) connection. The inability to complete the credential prompt post-update leads to rejected connections.

Microsoft has officially recognized this issue as a malfunction within the credential prompting process during Remote Desktop connections utilizing the Windows App.

Emergency Fixes Released for Recognized Bugs

To address two of the aforementioned issues—Remote Desktop failures and improper shutdowns—Microsoft deployed emergency updates on January 17:

KB5077744: An out-of-band update specifically designed for Windows 11 25H2/24H2 to rectify Remote Desktop failures. Available for download at Microsoft Update Catalog.
KB5077797: This update targets Windows 11 23H2 and resolves the shutdown issue. Find it at Microsoft Update Catalog.
KB5077793 (Windows Server 2025) and KB5077800 (Windows Server 2022) also address Remote Desktop failures, accessible via Microsoft Update Catalog.
KB5077796: This update rectifies remote desktop login errors in Windows 11 ESU and Enterprise LTSC 2021, retrievable from Microsoft Update Catalog.

Despite the rollout of these updates, at least three additional issues remain unaddressed. Post-installation of Windows 11 KB5074109 (25H2/24H2), the following problems have been detected by Windows Latest:

A noticeable black screen appearing for several seconds or minutes before the desktop fully loads.
The desktop background resets to a plain black, necessitating reconfiguration of wallpapers or Spotlight settings.
Malfunctioning desktop.ini feature in File Explorer, which prevents users from customizing folder names.

As of now, Microsoft has not acknowledged these three persistent issues, which were first highlighted by Windows Latest. An extensive analysis detailing the problems associated with KB5074109 has been compiled in our exclusive report.

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