Power BI Dashboards Failing: Unable to Update Data Source Credentials

Hi v-anyerr ,

Thanks for sharing those details and the screenshot. Since you’re able to refresh the dataset in Desktop and the issue only appears in the Service when updating credentials, this usually points to a service-side authentication or connector issue rather than your credentials.

A couple of things you can try that often resolve this.

1.Clear and Re-add Credentials

Go to Power BI Service → Dataset → Settings → Data source credentials.
Remove the existing credentials and re-authenticate using the same method you used in Desktop (OAuth/Basic).

2.Re-Publish the PBIX

Sign out and sign back in on Power BI Desktop, then republish the report. This forces a token refresh on the Service side.

3.Check Privacy Levels & Parameters

Make sure they’re set consistently in both Desktop and Service.

If it still fails after trying these steps, it could be related to a temporary issue with the connector (we’ve seen similar behavior recently with cloud connectors like Google Sheets). You can also check the Power BI Support page for any active incidents.

As a quick workaround while this gets resolved, you can manually refresh from Desktop and republish to keep your dashboards up-to-date.

Let us know if these steps help or if the issue persists we can dig deeper together.

Regards,
Akhil.