This is not a novel situation for Microsoft. From 2015:

https://www.securityweek.com/researcher-calls-out-microsoft-...

We talked about it in 2023

Windows 11 Update 23H2 is stealing users' IMAP credentials (666 points, 278 comments) https://news.ycombinator.com/item?id=38212453

And 2024

Microsoft's new Outlook client moves your email to the cloud (2023) (162 points, 131 comments) https://news.ycombinator.com/item?id=41666945

### Inflammatory too (2023):

Microsoft lays hands on login data: Beware of the new Outlook (231 points, 113 comments) https://news.ycombinator.com/item?id=38219568

New Outlook sends passwords, mails and other data to Microsoft (150 points, 25 comments) https://news.ycombinator.com/item?id=38233694

Microsoft steals access data: Beware of the new Outlook (161 points, 40 comments) https://news.ycombinator.com/item?id=38217457