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I’m only a fellow community user and not a Microsoft employee, so I don’t have access to the affected tenants or Microsoft’s internal systems.
Thank you for providing the details. I understand that you own cnetlab.com and can prove ownership through DNS, but Microsoft Entra reports that the domain is already associated with another managed tenant that you do not own or have access to.
Microsoft’s self-service admin takeover process is specifically intended for domains held by an unmanaged Microsoft Entra directory. The documentation states that if you cannot access an unmanaged directory, an external admin takeover may be available. However, this guidance does not establish a self-service takeover path for a domain already attached to an inaccessible managed tenant.
Ref: Take over an unmanaged directory as administrator in Microsoft Entra ID
In your situation, the appropriate next step is therefore to open a Microsoft support request in Admin Center and ask for the case to be escalated as a custom-domain release or tenant recovery issue.
I would not recommend repeatedly changing the TXT record or attempting forced takeover commands without Microsoft’s guidance. The existing record can prove DNS control, but release from an inaccessible managed tenant requires Microsoft to review the tenant and ownership evidence.
I hope this helps you get the case routed to the appropriate team.