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Hello Paul Rodwell,
Thank you for reaching out to the Microsoft Q&A forum.
Summary: The cross-subscription move operation for the resource group from one subscription to other subscription partially failed on March 16, 2026. The Virtual Machine was successfully moved by the Compute Resource Provider (CRP), but the associated networking resources (Network Interface, Network Security Group, Public IP Address, and Virtual Network) failed to complete the move due to an internal DNS name reservation conflict.
Root Cause: During the move operation, the system attempted to update the DNS name reservation for the Public IP Address. However, the existing DNS reservation was associated with a different internal tenant identifier from a prior subscription configuration. This mismatch prevented the DNS reservation from being updated, which caused the entire network resource move to fail. As a result, the networking resources were left in an inconsistent state across both subscriptions.
Impact: Networking resources (NIC, NSG, PIP, VNet) in the destination subscription remained in an "Updating" provisioning state, preventing any modifications. The same resources in the source subscription were left with a "Failed" move state.
Resolution: The NRP engineering team will perform a manual cleanup to reset the move state on the source resources and complete the notification for the destination resources, bringing all resources to a healthy "Succeeded" state. The DNS name reservation conflict has been addressed by the DNS team.
Prevention: The product team is aware of the DNS NameReservation TenantId mismatch issue that can occur during cross-subscription moves when Public IP Addresses have DNS labels. This is a known issue being tracked for a permanent fix. and for the question In the future where they would need to migrate public IP addresses between subscriptions. Is it safer to remove the DNS label first before migrating the public IP address our product team has responded with below answer.
We have mitigated the issue and customer should not see issue in future.
they don't have to remove DNS before migrating. Removing DNS is risky as they might loose it (someone else could take it etc).
If they want, we can closely monitor it when they going to migrate.
If the assistance was helpful, kindly & up-vote this can be beneficial to other community members.