Hi Jason,
It seems Single Sign On (SSO) has been deployed in your organization. Can you confirm it? And I would like to confirm the following information to help you troubleshoot this issue:
1. Are all federated users affected this issue?
2. Can you login to Office 365 portal Page or any other web services such as Outlook Web App via browsers? If any problems encountered, is it internally or in extranet?
3. Does the issue happen in domain joint PCs (internally) or extranet?
4. Are you using ADFS, what version are you using, ADFS 2.0 or 3.0?
5. When did the issue happen? Did it happen recently?
6. Regarding “It lets me open but everything is disabled and has a red banner saying unlicensed product”, what did you refer to? Can you share screenshots about it? To upload images, please click
Use rich formatting and then select the Insert/Edit Media button.
Meanwhile, to improve the troubleshooting efficiency, we would like to involve your Office 365 administrator to this issue if you are not as some further troubleshoot tools or logs are not accessible to end users.
Thanks,
Ran