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Hello Code Embassy,
Greetings! Thanks for raising this question in the Q&A forum.
This error is not caused by your resource configuration. It comes from a Microsoft-internal client application, Microsoft_Azure_SupportPortalExtension (client ID e6694c91-1590-4e35-9bb7-b865c638b9c1), which the Azure portal silently tries to sign in to in the background against Microsoft's own internal tenant named "Microsoft Services." Since your account is not a member of that internal Microsoft tenant, this background call always fails and surfaces the "needs to be added as an external user" message. It has nothing to do with an external-user or guest-access problem in your own tenant.
In most cases this is cosmetic and does not block resource creation by itself, but it commonly shows up together with (and points to) one of two real underlying issues: the portal landing on the wrong directory, or your account not yet having an active Azure subscription. Work through these in order.
Confirm you're on the correct directory
Sign in to https://portal.azure.com, click your account icon in the top right, and select Switch directory. Make sure you land on your own tenant, not a default or leftover directory. If you see multiple directories listed, pick the one where your subscription actually lives.
Confirm a subscription actually exists on this account
Go to Subscriptions in the portal. If nothing is listed, that's your real blocker. A brand-new Entra ID/Azure account with no subscription cannot fully initialize several portal extensions, and this background auth error is a known side effect of that state. Create one of the following to resolve it:
portal.azure.com > Subscriptions > + Add
Options: Free Trial, Pay-As-You-Go, Azure for Students (if you're a verified student), or an Azure Sponsorship if you have one. Once a subscription is provisioned, this error typically disappears on its own.
Clear the stale sign-in session
The error frequently persists because the browser is holding a cached token tied to the wrong account context.
- Sign out completely from
https://portal.azure.comandhttps://login.microsoftonline.com- Close all browser tabs, then open a fresh InPrivate/Incognito window
- Sign in directly at
portal.azure.com, and when prompted, explicitly choose Use another account rather than an account suggested from cache
- Sign in directly at
- Close all browser tabs, then open a fresh InPrivate/Incognito window
If none of the above resolves it and you can't submit a support ticket because there's no subscription to attach it to, you can still reach Azure support through the free support options here: Azure support plans and how to create a ticket.
If this answer helps you kindly accept the answer which will help others who have similar questions.
Best Regards,
Jerald Felix.