Microsoft 365 features that help users manage their subscriptions, account settings, and billing information.
For those that missed it....
DISABLE the Thunderbird option: "SHOW ONLY SUBSCRIBED FOLDERS"
Located at: 'Tools' > 'Account Settings' > 'Server Settings' > 'Advanced' > "show only subscribed folders"
Uncheck that and then get messages and all folders will show up.
Having all folders shown is better than missing the important ones.
This provides at best an ugly hack to the problem that the last update (?) of Microsoft's MAPI (or OAuth2) implementation created in the first place.
However, this hack of changing the synchronization/subscription settings appears to work only for the Thunderbird mail client.
Be aware that a plethora of MUAs besides Thunderbird are affected. According to the other replies it has become apparent that such a solution does not exist for every email client out there.
And switching to Outlook is simply not a solution when affected users are on macOS/iOS or GNU/Linux - based operating systems.
The IMAP protocol - a de facto standard - should be adhered to, also by *Microsoft'*s implementation thereof.
Edit: It appears that the guys on the Vivaldi mail client development team have located the issue.
To my understanding Microsoft O365's IMAP implementation has dropped support for 'LSUB' without documenting this.
See their discussion: https://forum.vivaldi.net/topic/80723/lsub-failed-with-office-365-imap-server/9