Microsoft users who have recently updated to Windows Phone 7.8 from Windows Phone 7.5 seem to be encountering contact sync issues with the online email service Outlook.com, per reports.

The phone's software update seems to have created issues with contacts syncing on Outlook.com, according to reports. Apparently, the contacts that are added or modified using Outlook's Web interface of the e-mail service don't seem to be syncing back to the handset.

"We had a tip from a reader that the Windows Phone 7.8 update appears to have been causing issues with contact synching with Outlook.com, with the main issue appearing to be that contacts that are modified or added using the web interface of Outlook.com is not synching back down to the device," reports WMPoweruser.

This is not the first time Windows Phone users have complained of syncing issues with Outlook.com.

Earlier in December, Windows Phone users encountered sync issues with Outlook 2013 and took to the Microsoft forum to complain. At the time, users got the error message that they too many devices were syncing with their accounts.

"There are too many devices syncing with this account. To sync using Outlook, try removing another device that is connected with this account such as a phone or another computer," noted the message at the time.

To check if your Windows Phone 7.8 handset is affected by the current issue, follow the steps below:

1.Open contacts on outlook.com > Edit any randomly chosen contact detail

2. Next, go to People Hub settings > Scroll down to accounts > Press and hold Live account.

3. Tap sync and wait till the sync is complete

4. Check People Hub. If the contact does not appear your device may be affected.

It is currently not known how widespread this issue is, but users hope Microsoft will look into it soon and fix it.