Metadata contains a reference that cannot be resolved: 'http://Server:port/Org/XRMServices/2011/Organization.svc?wsdl'.

I've been connecting my CRM Development Server for last few months and today I installed CRM Outlook Client to my Local PC. Once I installed the CRM Outlook Client, I couldn't connect to CRM. My PC is 64 bit and I have 32 bit MS Office(and Outlook). I think that might be a reason that the CRM Outlook Client did not work. ( I got some errors when installing but was manged to install by manually installing "Microsoft Online Services Sign-in Assistance")

Since it did not work properly, I uninstalled the CRM Outlook Client. But just after that, and start my usual work I got following error

Metadata contains a reference that cannot be resolved: 'http://Server:port/Org/XRMServices/2011/Organization.svc?wsdl'.

After doing some research, I found that my machine.config file has been modified today.

I compared the "machine.config" file with one of colleague's PC and found the additional tag.

<system.net>
    <defaultproxy enabled="true" usedefaultcredentials="true">
        <proxy bypassonlocal="True" proxyaddress="###.com.sg">
        </proxy>
</defaultproxy>
</system.net>

I then removed the whole "<system.net>" tag from the "machine.config" file. Everything is working fine now!

If you found the same error, remember to get a backup of the "machine.config" file before proceeding!