An Azure service that provides a hybrid, multi-cloud management platform for APIs.
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As per our discussion on teams the engineering team has provided below resolution to fix your issue:
Customer TXT record has the wrong value; you need to modify it or delete it but make sure CNAME record is valid.
The error is from App Service when they do the custom domain validation before adding, not from APIM. The link customer shared is for APIM free certificate feature and the Txt is required for apimuid.<custom domain>. But the error message complained about asuid.<custom domain>. Customer must try to configure the same domain for other App Service service before. So please follow my instructions before to correct Txt record. [Customer TXT record has the wrong value; they need to modify it or delete it but make sure CNAME record is valid.]