What the symptom means
One working monitor rules out several failures.
The dock is enumerating and the upstream USB connection is alive.
The monitors themselves are probably fine. Focus on the combined path.
Bandwidth, display-stream, or host graphics limits are the main suspects.
Step 01
Prove every display output independently.
Connect monitor A by itself to dock output 1, then output 2. Repeat with monitor B. This catches a dead output or cable before you spend time diagnosing MST or bandwidth.
Step 02
Force a low-bandwidth dual-monitor test.
In Windows, open Settings → System → Display → Advanced display and set both external displays to 1920×1080 at 60 Hz if those modes are supported. Disconnect HDR during the test. If the second monitor suddenly appears, the dock is not “randomly broken”; the original combined mode exceeded something in the path.
Step 03
Identify how the dock creates the second display.
The second video connector on the dock can come from very different technologies.
Splits a DisplayPort stream into multiple displays. The host and operating system must support the intended configuration.
Creates additional displays over USB data and requires DisplayLink software.
Can tunnel display traffic, but the number and mode of displays still depend on the host implementation.
Step 04
Read the host's external-display specification.
Do not infer support from the number of ports on the dock. The laptop's graphics/display engine and the capabilities exposed through that USB-C port define what the dock can actually use. Search the exact laptop model and read the external-display section or port specification.
Step 05
Replace the upstream cable before replacing the dock.
Use the cable supplied with the dock or a known-good cable that meets the dock's stated USB4/Thunderbolt/full-featured USB-C requirement. Microsoft specifically recommends the manufacturer-supplied or certified cable for USB4 devices and notes that an incompatible cable can reduce functionality.
Decision
What the test result means.
Keep the dock. Choose supported resolution/refresh combinations or move to a higher-bandwidth host/dock path if you need more.
Check host stream limits and whether the dock requires MST or DisplayLink.
Swap its cable first. If the failure follows the dock connector, the dock output may be defective.
Sources