What you’re seeing is expected behavior on BC on-prem: the OData endpoint often advertises Basic and Bearer authentication at the same time, even when Entra ID (OIDC) is correctly configured. The server isn’t falling back to Basic — the problem is that Excel / Power Query tends to pick Basic first, which breaks OAuth sign-in. There’s usually nothing missing in your server setup; the practical fix is client-side: use the Business Central connector in Power BI / Excel (it handles OAuth properly), or explicitly force Bearer token auth in a custom OData/OAuth flow. Fully suppressing Basic auth on on-prem isn’t reliably possible just via settings.
Regards,
Oussama Sabbouh
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