Did you just try to sign in to Xbox Live or fire up a game on your Xbox and found that you can't? Nope, you're not crazy, and no, it's not something on your end. Xbox Live is down right now. Microsoft's online service is currently facing a major outage for players on the Xbox Series X, the Xbox Series S, the Xbox One, and even Windows, and this outage affects everything from sign-in, online multiplayer, and even the ability to even start locally downloaded games. And it has actually dragged on for a surprisingly long amount of time.
The outage started a few hours ago and was reported to initially only affect sign-in. However, the issue has since spread to most other parts of Xbox Live, to the point where it has actually become impossible to even access games that you bought online, since the system actually performs a license check before starting the game. The outage has been ongoing for hours, with Xbox users from around the world being affected.
During the outage, you may have issues with sign-in and even firing up games.
The silver lining here, though, is that Microsoft has already been made aware of the issue, and they're actively working on a fix. The Xbox Support account on Twitter acknowledged the issue and stated that their teams are currently investigating to fix the issue. They also provided another update 2 hours later, indicating that the issue is affecting other parts of the Xbox Live service too, not just sign-in. However, as of the time of writing, the service is still down, with Microsoft promising to post any further updates both on their support account as well as their official Xbox Live Status website.
So, what should we do now? Sadly, we don't have any timeframes as to when Xbox Live will come back online and when you will gain back access to your game library, so all we have to do now is to sit around and wait for Microsoft to fix this.
Update: It's back
Good news, everyone! Xbox Live should be coming back for everyone now after several hours of outage. Users started to report that the service was coming back, and this was quickly followed up by the Xbox support team on another tweet saying that users should be able to log in and play their games now.
If you can't get into Xbox Live yet, rebooting your console should do the trick.