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D365 FO UE to Azure Application Insights Connection Error

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Posted on by A7 NPT

Greetings,

I have a D365 FO environment deployed from PPAC, it has Telemetry feature enabled.

I have already deployed an Application Insights resource on Azure and setup the D365 env to connect to it:

Now not seeing any activity and getting this error on Application Insights:

Unable to retrieve token. Error: invalid_scope. Error description: Principal is not authorized for requested scopes. {
"Principal": "finops-aos:e87ad95f-194e-e111-8982-********",
"Context": "finops-env:e87ad95f-194e-e111-8982-********"",
"RequestedScopes": [
"https://financeinsightsinitiatorservice.operations365.dynamics.com/.default"
],
"UnauthorizedScopes": [
"https://financeinsightsinitiatorservice.operations365.dynamics.com/.default"
]
}. Error URI: . Correlation id: 872c1be8-59d1-0006-181a-dc87d159dc01

I thought D365 and Azure would setup IAM automatically. Any guidance on this?

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Dynamics 365 Finance

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Sohaib Cheema 49,677 Super User 2026 Season 1 on at

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Hi,

Is your Azure Admin has any security in place on the Azure Side, that is disallowing it. I do not remember adding any special permissions for the app insights setup, on the Azure Side.

Could you please post your question here as well: Azure - Microsoft Q&A

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Aymen CHELBI 586 Super User 2026 Season 1 on at

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Hello,

I suggest that we open a ticket with Microsoft Support.
I don’t believe the issue is related to the Application Insights configuration. It seems much more likely to be caused by an unexpected interaction between the platforms.

From what we can see:

D365 now calls a service locator before determining the correct cluster;

This service locator sometimes redirects the request to an endpoint in a different geo;

That remote cluster does not recognize the requested scope, which results in the invalid_scope error.

It would be best for Microsoft to review the routing behavior and confirm whether a fix or hotfix is required.

Best regards,

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