Hello Rajendra,
Thank you for posting question on Microsoft Windows Forum!
Based on the issue description. Well! The plausible explanation to this behavior is that Windows 11 25H2 introduces changes to the Windows Update Agent that affect how reporting data is packaged and sent to WSUS. While the scan, download, and install workflows (which use the newer Unified Update Platform protocols) function correctly, the reporting event payload appears incompatible with the WSUS server-side processing on Windows Server 2022. The server accepts the connection (HTTP 200), but fails to parse the reporting data into the SUSDB, so tbEventInstance, LastReportedStatusTime, and LastInventoryTime are never updated.
The suggestion is to ensure your WSUS server is fully patched with the latest cumulative update from Windows Update/Microsoft Update Catalog. If you are already on a patch level later than February 2025 and the issue persists, a specific out-of-band fix may still be pending for 25H2. Checking for any latest servicing stack updates.
On the other hand, try to check the Server-Side by looking at what WSUS is doing with the data it receives. You can open the WSUS application log on your Server 2022 box. Navigate to this path C:\Program Files\Update Services\LogFiles\SoftwareDistribution.log and search the log for references to ReportingWebService.asmx or DBNull / ArgumentNullException. If you see SOAP or Parsing Exceptions which indicates that Windows 11 25H2 introduced minor changes to the Windows Update Agent (WUA) payload string. If WSUS does not know how to map a new hardware property or OS feature metric sent by 25H2, the web service throws an unhandled exception and silently discards the report. Ensure your Server 2022 host has the absolute latest Cumulative Updates installed to get the updated microsoft.updateservices binaries. In case, you see SQL Timeout Exceptions which indicates the reporting pipeline is choking on the WID back-end.
Hope the above information is helpful!