Not enough licenses (group-based licensing)
Group-based licensing could not assign a product to some members because the tenant has run out of that licence.
Why it happens
There are not enough available licences for one of the products assigned to the group. If a group has several products, a failure on one can stop the others being assigned too.
Where you see it, and what it affects
The error shows for group-based licensing, where licences are assigned through a group rather than to each user. In the Microsoft 365 admin center it is under Billing > Licenses, the product, then the Errors & issues tab. In the Microsoft Entra admin center, Billing > Licenses > Overview shows a box when any group has errors, and the group page shows a notification. Affected users do not get that product. Other products on the same group may also miss out.
How to fix it
- 1
Step 1
In the admin center, open the product under Billing > Licenses and check Errors & Issues to see affected users.
- 2
Step 2
Buy more licences (check the vendor's current pricing), or free some by removing unused direct assignments or removing users from other licensed groups.
- 3
Step 3
Select the affected group or users and choose Reprocess.
Check that it is fixed
- In the Microsoft 365 admin center, go to Billing > Licenses, select the product and open Errors & issues. The user should no longer be listed.
- In the Microsoft Entra admin center, Billing > Licenses > Overview should not show the group-errors box.
- Reprocess handles up to 20 users at a time, so check again after larger groups.
Source
Full guide: Microsoft 365 tenant-to-tenant migration: the complete guide →