Recently I have created an app which I'm hosting on Azure App Service. Part of this application is a people picker, based on MS Graph which makes a query to Azure AD to search for users matching the query (by name or e-mail).
We're at the testing stage and there is one thing reported by customer as bug. In people picker (so in Azure AD) the user cannot be retrieved and invited to the system before he signs-in to Azure at least once.
If I understand correctly, the user object is created in Azure AD only after initial login, so there's no way to get all users from on-premise AD.
Can you suggest a workaround or any source of information which clearly states this behavior is by design so I can show it to the customer?