diff --git a/src/Build.UnitTests/Telemetry/OpenTelemetryManager_Tests.cs b/src/Build.UnitTests/Telemetry/OpenTelemetryManager_Tests.cs
index 323326401c6..b10cf9465d4 100644
--- a/src/Build.UnitTests/Telemetry/OpenTelemetryManager_Tests.cs
+++ b/src/Build.UnitTests/Telemetry/OpenTelemetryManager_Tests.cs
@@ -2,7 +2,10 @@
 // The .NET Foundation licenses this file to you under the MIT license.
 
 using System;
+using System.Collections.Generic;
+using System.Linq;
 using System.Reflection;
+using Microsoft.Build.Execution;
 using Microsoft.Build.Framework.Telemetry;
 using Microsoft.Build.UnitTests;
 using Shouldly;
@@ -98,6 +101,23 @@ public void Initialize_ShouldNoOp_WhenCalledMultipleTimes()
             state2.ShouldBe(false);
         }
 
+        [Fact]
+        public void TelemetryLoadFailureIsLoggedOnce()
+        {
+            OpenTelemetryManager.Instance.LoadFailureExceptionMessage = new System.IO.FileNotFoundException().ToString();
+            using BuildManager bm = new BuildManager();
+            var deferredMessages = new List<BuildManager.DeferredBuildMessage>();
+            bm.BeginBuild(new BuildParameters(), deferredMessages);
+            deferredMessages.ShouldContain(x => x.Text.Contains("FileNotFound"));
+            bm.EndBuild();
+            bm.BeginBuild(new BuildParameters());
+            bm.EndBuild();
+
+            // should not add message twice
+            int count = deferredMessages.Count(x => x.Text.Contains("FileNotFound"));
+            count.ShouldBe(1);
+        }
+
         /* Helper methods */
 
         /// <summary>
diff --git a/src/Build.UnitTests/Telemetry/Telemetry_Tests.cs b/src/Build.UnitTests/Telemetry/Telemetry_Tests.cs
index 6154403ab83..6939eda86e5 100644
--- a/src/Build.UnitTests/Telemetry/Telemetry_Tests.cs
+++ b/src/Build.UnitTests/Telemetry/Telemetry_Tests.cs
@@ -5,9 +5,7 @@
 using System.Collections.Generic;
 using System.Diagnostics;
 using System.Linq;
-#if NET
 using System.Text.Json;
-#endif
 using Microsoft.Build.Execution;
 using Microsoft.Build.Framework;
 using Microsoft.Build.Framework.Telemetry;
diff --git a/src/Build/BackEnd/BuildManager/BuildManager.cs b/src/Build/BackEnd/BuildManager/BuildManager.cs
index a60bd4ed0d8..ce330e93bdd 100644
--- a/src/Build/BackEnd/BuildManager/BuildManager.cs
+++ b/src/Build/BackEnd/BuildManager/BuildManager.cs
@@ -459,7 +459,8 @@ private void UpdatePriority(Process p, ProcessPriorityClass priority)
         /// <exception cref="InvalidOperationException">Thrown if a build is already in progress.</exception>
         public void BeginBuild(BuildParameters parameters)
         {
-            OpenTelemetryManager.Instance.Initialize(isStandalone: false);
+            InitializeTelemetry();
+
             if (_previousLowPriority != null)
             {
                 if (parameters.LowPriority != _previousLowPriority)
@@ -723,6 +724,26 @@ void InitializeCaches()
             }
         }
 
+        private void InitializeTelemetry()
+        {
+            OpenTelemetryManager.Instance.Initialize(isStandalone: false);
+            string? failureMessage = OpenTelemetryManager.Instance.LoadFailureExceptionMessage;
+            if (_deferredBuildMessages != null &&
+                failureMessage != null &&
+                _deferredBuildMessages is ICollection<DeferredBuildMessage> deferredBuildMessagesCollection)
+            {
+                deferredBuildMessagesCollection.Add(
+                    new DeferredBuildMessage(
+                        ResourceUtilities.FormatResourceStringIgnoreCodeAndKeyword(
+                            "OpenTelemetryLoadFailed",
+                            failureMessage),
+                    MessageImportance.Low));
+
+                // clean up the message from OpenTelemetryManager to avoid double logging it
+                OpenTelemetryManager.Instance.LoadFailureExceptionMessage = null;
+            }
+        }
+
 #if FEATURE_REPORTFILEACCESSES
         /// <summary>
         /// Configure the build to use I/O tracking for nodes.
diff --git a/src/Build/Resources/Strings.resx b/src/Build/Resources/Strings.resx
index f36cdbcde75..f982a2c84e5 100644
--- a/src/Build/Resources/Strings.resx
+++ b/src/Build/Resources/Strings.resx
@@ -2392,6 +2392,9 @@ Utilization:          {0} Average Utilization: {1:###.0}</value>
     <value>succeeded: {0}</value>
     <comment>{0} whole number</comment>
   </data>
+  <data name="OpenTelemetryLoadFailed" xml:space="preserve">
+    <value>Loading telemetry libraries failed with exception: {0}.</value>
+  </data>
   <!--
         The Build message bucket is: MSB4000 - MSB4999
 
diff --git a/src/Build/Resources/xlf/Strings.cs.xlf b/src/Build/Resources/xlf/Strings.cs.xlf
index a4ed911d08e..fdc0d9224ef 100644
--- a/src/Build/Resources/xlf/Strings.cs.xlf
+++ b/src/Build/Resources/xlf/Strings.cs.xlf
@@ -630,6 +630,11 @@
         <target state="translated">Metoda {0} se nedá zavolat s kolekcí, která obsahuje prázdné cílové názvy nebo názvy null.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">Výstupní vlastnost: </target>
diff --git a/src/Build/Resources/xlf/Strings.de.xlf b/src/Build/Resources/xlf/Strings.de.xlf
index 7fe8564cd54..fa64d002e08 100644
--- a/src/Build/Resources/xlf/Strings.de.xlf
+++ b/src/Build/Resources/xlf/Strings.de.xlf
@@ -630,6 +630,11 @@
         <target state="translated">Die Methode "{0}" kann nicht mit einer Sammlung aufgerufen werden, die NULL oder leere Zielnamen enthält.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">Ausgabeeigenschaft: </target>
diff --git a/src/Build/Resources/xlf/Strings.es.xlf b/src/Build/Resources/xlf/Strings.es.xlf
index d6b69ebe981..1c2e01f49fb 100644
--- a/src/Build/Resources/xlf/Strings.es.xlf
+++ b/src/Build/Resources/xlf/Strings.es.xlf
@@ -630,6 +630,11 @@
         <target state="translated">No se puede llamar al método {0} con una colección que contiene nombres de destino nulos o vacíos.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">Propiedad de salida: </target>
diff --git a/src/Build/Resources/xlf/Strings.fr.xlf b/src/Build/Resources/xlf/Strings.fr.xlf
index 476f81982a5..37cfcf09db4 100644
--- a/src/Build/Resources/xlf/Strings.fr.xlf
+++ b/src/Build/Resources/xlf/Strings.fr.xlf
@@ -630,6 +630,11 @@
         <target state="translated">Impossible d'appeler la méthode {0} avec une collection contenant des noms de cibles qui ont une valeur null ou qui sont vides.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">Propriété de sortie : </target>
diff --git a/src/Build/Resources/xlf/Strings.it.xlf b/src/Build/Resources/xlf/Strings.it.xlf
index 88de2f29361..ba73ca5de64 100644
--- a/src/Build/Resources/xlf/Strings.it.xlf
+++ b/src/Build/Resources/xlf/Strings.it.xlf
@@ -630,6 +630,11 @@
         <target state="translated">Non è possibile chiamare il metodo {0} con una raccolta contenente nomi di destinazione Null o vuoti.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">Proprietà di output: </target>
diff --git a/src/Build/Resources/xlf/Strings.ja.xlf b/src/Build/Resources/xlf/Strings.ja.xlf
index ac24fa3a8cc..653325c229e 100644
--- a/src/Build/Resources/xlf/Strings.ja.xlf
+++ b/src/Build/Resources/xlf/Strings.ja.xlf
@@ -630,6 +630,11 @@
         <target state="translated">Null または空のターゲット名を含むコレクションを指定してメソッド {0} を呼び出すことはできません。</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">プロパティの出力: </target>
diff --git a/src/Build/Resources/xlf/Strings.ko.xlf b/src/Build/Resources/xlf/Strings.ko.xlf
index 604e05765c3..36d3619b3c4 100644
--- a/src/Build/Resources/xlf/Strings.ko.xlf
+++ b/src/Build/Resources/xlf/Strings.ko.xlf
@@ -630,6 +630,11 @@
         <target state="translated">null 또는 빈 대상 이름을 포함하는 컬렉션을 사용하여 {0} 메서드를 호출할 수 없습니다.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">출력 속성: </target>
diff --git a/src/Build/Resources/xlf/Strings.pl.xlf b/src/Build/Resources/xlf/Strings.pl.xlf
index c4b1e4e7950..ce4f069806d 100644
--- a/src/Build/Resources/xlf/Strings.pl.xlf
+++ b/src/Build/Resources/xlf/Strings.pl.xlf
@@ -630,6 +630,11 @@
         <target state="translated">Metody {0} nie można wywołać przy użyciu kolekcji zawierającej nazwy docelowe o wartości null lub puste.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">Właściwość danych wyjściowych: </target>
diff --git a/src/Build/Resources/xlf/Strings.pt-BR.xlf b/src/Build/Resources/xlf/Strings.pt-BR.xlf
index dac69426c0d..e8c8c169c30 100644
--- a/src/Build/Resources/xlf/Strings.pt-BR.xlf
+++ b/src/Build/Resources/xlf/Strings.pt-BR.xlf
@@ -630,6 +630,11 @@
         <target state="translated">O método {0} não pode ser chamado com uma coleção que contém nomes de destino nulos ou vazios.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">Propriedade de Saída: </target>
diff --git a/src/Build/Resources/xlf/Strings.ru.xlf b/src/Build/Resources/xlf/Strings.ru.xlf
index 7761ba40014..112294b9c8d 100644
--- a/src/Build/Resources/xlf/Strings.ru.xlf
+++ b/src/Build/Resources/xlf/Strings.ru.xlf
@@ -630,6 +630,11 @@
         <target state="translated">Метод {0} не может быть вызван с коллекцией, содержащей целевые имена, которые пусты или равны NULL.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">Выходное свойство: </target>
diff --git a/src/Build/Resources/xlf/Strings.tr.xlf b/src/Build/Resources/xlf/Strings.tr.xlf
index 2e698dd6995..5350541f5aa 100644
--- a/src/Build/Resources/xlf/Strings.tr.xlf
+++ b/src/Build/Resources/xlf/Strings.tr.xlf
@@ -630,6 +630,11 @@
         <target state="translated">{0} metosu null veya boş hedef adları içeren bir koleksiyonla çağrılamaz.</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">Çıkış Özelliği: </target>
diff --git a/src/Build/Resources/xlf/Strings.zh-Hans.xlf b/src/Build/Resources/xlf/Strings.zh-Hans.xlf
index f67cf71b15f..2a29f9c1660 100644
--- a/src/Build/Resources/xlf/Strings.zh-Hans.xlf
+++ b/src/Build/Resources/xlf/Strings.zh-Hans.xlf
@@ -630,6 +630,11 @@
         <target state="translated">无法使用包含 null 或空目标名称的集合调用方法 {0}。</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">输出属性: </target>
diff --git a/src/Build/Resources/xlf/Strings.zh-Hant.xlf b/src/Build/Resources/xlf/Strings.zh-Hant.xlf
index 74f2f895537..1e76b329584 100644
--- a/src/Build/Resources/xlf/Strings.zh-Hant.xlf
+++ b/src/Build/Resources/xlf/Strings.zh-Hant.xlf
@@ -630,6 +630,11 @@
         <target state="translated">無法使用內含 null 或空白目標名稱的集合呼叫方法 {0}。</target>
         <note />
       </trans-unit>
+      <trans-unit id="OpenTelemetryLoadFailed">
+        <source>Loading telemetry libraries failed with exception: {0}.</source>
+        <target state="new">Loading telemetry libraries failed with exception: {0}.</target>
+        <note />
+      </trans-unit>
       <trans-unit id="OutputPropertyLogMessagePrefix">
         <source>Output Property: </source>
         <target state="translated">輸出屬性: </target>
diff --git a/src/Framework/Telemetry/OpenTelemetryManager.cs b/src/Framework/Telemetry/OpenTelemetryManager.cs
index a659cb9a932..785c90edb42 100644
--- a/src/Framework/Telemetry/OpenTelemetryManager.cs
+++ b/src/Framework/Telemetry/OpenTelemetryManager.cs
@@ -39,6 +39,8 @@ internal class OpenTelemetryManager
         private IOpenTelemetryCollector? _collector;
 #endif
 
+        public string? LoadFailureExceptionMessage { get; set; }
+
         /// <summary>
         /// Optional activity source for MSBuild or other telemetry usage.
         /// </summary>
@@ -104,6 +106,7 @@ public void Initialize(bool isStandalone)
             {
                 // catch exceptions from loading the OTel SDK or Collector to maintain usability of Microsoft.Build.Framework package in our and downstream tests in VS.
                 _telemetryState = TelemetryState.Unsampled;
+                LoadFailureExceptionMessage = ex.ToString();
                 return;
             }
 #endif