They still lied, because they didn't say "X is shit" but "Z said that X is shit", however Z apparently never said that.
I have become very cautious of such stories for this very reason. Who gets how much blame has a lot to do with "culture" or momentum. Bashing Microsoft for example is always super fine, but at multiple occasions I found the facts to be much more nuanced.
In this case, it’s just yet another design-level vulnerability in Microsoft cloud’s services. There isn’t much room for nuance.
It's true, they lied. But, paradoxically, in this case, while they lied about details, the conclusion is still true: Azure is very far from AWS and GCP as far as security is concerned. I have my own suspicions why it is so, but the reasons are not important, what counts is the final conclusion: if you really care for security, you'd better chose one of the other two.
If a slop engine calls a slop company slop, has anyone really lost?
Titles are editorialised and space limited. The first couple lines in the article linked above make the nuance pretty clear.
[edit: 'pretty' instead of 'perfectly']