Overwatch- Xbox- Mic Issues. Can hear team chat but cant speak

Hi, I hope you're doing great out there despite the issue that you're experiencing. I am an Independent advisor and I am here to help you in regards to your concern.

For cases like this step that we have to perform is to try to use a different controller if there is an available one. If there isn't please check if there is an update available for the controller that you're currently using. Please follow the steps below:

1. Press the Xbox button to open the guide, select Profile & system > Settings > Devices & streaming > Accessories, and then select the controller you want to update.

2. On the Xbox Wireless Controller screen, select “…” to check the firmware version for your controller.

3. If it says “Update,” select Firmware version, and then follow the steps provided.

If that didn't work, please do try a different headset with a mic as well to test it out.

Firmware update completed.

Was able to use the mic in game but when I walked away from the game for a long time and the controller turned off (timed out) the mic stop working. I restarted the console and the mic worked again, So now the only way for the mic to work is to turn the game on, plug headphones into controller and restart console.

I am having the same issue. I can see the green round dot in party going thick, so I know my mic is working. I can hear the game with my Turtle Beach. But my friends cant hear my voice, and I cant hear there voices even though I am in the party and can see
their circles getting thick when they speak. Knowing the issues with Xbox live and Party Chat I am sure its MS fault!

Same problem but I can talk to people through party chat but not through in game chat (like in Battlefield 1 and World of Tanks) but surprisingly I can talk to people in Overwatch. What is even more frustrating is that (like you said) customer support doesn't
help and all the solutions I do find aren't the solutions that I actually need. From time-to-time I can hear the people in game speak through my TV when I'm supposed to be hearing them through my head set and when I speak I can see the mic icon that indicates
that I'm talking but no one can hear me through in game chat but they can hear me through Xbox party chat...... XBOX FIX THIS **** NOW OR SO HELP ME I WILL GO TO YOUR HQ AND PISS ON EVERY ELECTRONIC DEVICE I CAN!!!!!!!!!!!!!

To clarify my issue for comparison. I can hear other people with the Xbox One Chat Headset. They cannot hear me. In addition the mic icon in the Xbox Live Party Chat Menu is ALWAYS ON regardless of whether or not the mic is plugged in or the controller is
on or off. The mic icon is ALWAYS ON.