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Dear Mitchell Thomson,
Thank you for reaching out to the Microsoft Q&A.
You've already performed excellent initial troubleshooting by checking updates, disabling add-ins, and creating a new user profile (VHDX). This strongly suggests the issue is not with user-specific data but with the environment, the application's interaction with the OS, or the VDI's display handling.
You could try following these steps below to solve this issue:
- Disable hardware graphics acceleration in Office:
- In any Office application (Outlook, Word, etc.), go to File > Options.
- Select the Advanced tab.
- Scroll down to the Display section.
- Check the box for "Disable hardware graphics acceleration".
- Click OK and restart all Office applications.
- Modify Outlook's notification style:
- In Windows, go to Settings > System > Notifications & actions.
- Scroll down to "Get notifications from these senders" and find Outlook.
- Click on Outlook.
- You will see several options. The main one to test is unchecking "Show notification banners". You can leave "Show notifications in action center" checked.
- This way, the user won't get the intrusive pop-up that causes the freeze, but a record of the notification will still appear in the Action Center (the slide-out panel on the right) for later review. This is a good middle-ground solution.
- Run an Online repair of Microsoft 365/Office:
- Go to Control Panel > Programs and Features.
- Find your Microsoft Office/365 installation.
- Select it and click Change.
- Choose "Online Repair" and run the process. This will take longer as it re-downloads installation components.
Since you are in a managed VDI environment, this is a prime candidate for a support ticket with Parallels. They may be aware of a known issue or a required registry key/configuration for your specific setup.
To assist others who might have similar questions and to help us improve our support system, we kindly encourage you to "Accept the answer" if it successfully addressed your concern. Accepting an answer lets other users know that this solution worked for you, and it also helps us track the effectiveness of our support efforts.
Best regards,
Bryan Vu | Microsoft Q&A Support Specialist