In short: Many users are taking to Reddit to see what's going on with Alexa, as the personal assistant is showing the dreaded orange ring, as well as simply not being able to answer questions, by replying the "Sorry, I'm having trouble understanding right now." It's happening in many countries including the US, Canada and the UK. An Amazon employee did reply to the thread on Reddit to state that it is working on a fix for this, and it should be back to working correctly, pretty soon.
Background: Alexa's orange ring is usually only shown when the WiFi connection is down or very slow. So it threw a lot of people off when the orange light began showing up on Alexa devices over the past few days. As WiFi was not down for many users of Alexa. But it turns out that it is something on Amazon's end. This could be Amazon pushing out some new features to Alexa, as the last time that this happened, it was pushing out a number of updates to Alexa. So fingers crossed that there are new features on the way. Of course, we do know that the Whisper Mode is coming next month, but Amazon may be bringing some other features as well.
Impact: While this can be a bit annoying for those that do use Alexa all the time, it appears that a reboot of the Alexa speaker is fixing the issue. This is a typical fix for a lot of things, so it's not too surprising to see that a reboot fixes the issue for Alexa, but it is an easy fix. Many users, including ourselves, are reporting that a reboot has fixed the issue and Alexa is back to working as normal. So if you are experiencing this issue, be sure to reboot your Alexa device and that should solve the issue.