Error message for Teams Embedded Agent

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Posted on by MO-19080930-0

We are receiving an error message for a Teams embedded agent when trying to use a SharePoint knowledge source. It works successfully while testing in the Power Platform web environment and seems to be working correctly for agents that are published elsewhere, but in Teams we get the attached message "Connect to Continue" for a FederatedKnowledgeSearchOperation connection. Allowing the connection seems to time out and then return an error. Is this a known issue? We be believe we have been able to use SharePoint before, and were wondering if its a new issue or perhaps related to new settings in an environment or for the SharePoint site.

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Prasad-MSFT Microsoft Employee on at

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Why does this happen?
Teams requires delegated authentication:
When an agent in Teams tries to access SharePoint, it often needs the user to grant permission (delegated OAuth). The “Connect to Continue” prompt is Teams asking for this consent.
Timeouts or errors:
If the authentication flow is blocked (by browser settings, Teams policies, or tenant restrictions), or if the SharePoint site has new permission settings, the connection can time out or fail.
Environment differences:
The Power Platform web environment may use your admin/service account or cached credentials, while Teams always requires the current user’s delegated permissions.
Possible Causes

Recent changes to SharePoint site permissions (e.g., restricted access, MFA, or guest/external user settings).

Teams app permission policies or conditional access policies blocking the OAuth flow.

Browser or Teams client issues (pop-up blockers, outdated client, etc.).

Expired or missing consent for the FederatedKnowledgeSearchOperation connection.

What to do:
Check SharePoint permissions:
Ensure all intended Teams users have at least read access to the SharePoint site and its content.

Consent to permissions:
When prompted, allow the connection and ensure pop-ups are not blocked. Try in the Teams web client if the desktop client fails.

Clear cached connections:
In Teams, sign out and back in, or clear Teams cache, to force a fresh authentication flow.

Check Teams and SharePoint policies:
Review any recent changes to Teams app permission policies or SharePoint site settings that could block delegated access.

Test with another user/account:
See if the issue is user-specific or affects all users.

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Beyond The Platforms 219 on at

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Hi! The issue you're experiencing is known and has been reported by other community members.

The error related to FederatedKnowledgeSearchOperation in Teams is typically caused by improper handling of delegated authentication tokens: unlike the Copilot Studio web environment, Teams manages connection persistence differently, which can lead to timeouts or credentials not being passed correctly.
A few things to check:

Make sure the users involved have an active Microsoft 365 Copilot license on their work account — without it, access to SharePoint/OneDrive knowledge sources fails at runtime.

Verify that users have at least read permissions on the SharePoint site in question.

Check the Graph API permissions of the Teams app in the Entra ID portal (e.g. Sites.Read.All, Files.Read.All) and ensure admin consent has been granted.

Try removing and re-adding the SharePoint knowledge source in the agent.

As a workaround, you can consider using a Power Automate flow as an intermediary to query SharePoint instead of the direct knowledge source — less elegant, but more stable in Teams.

If the issue persists, I'd recommend opening an official support ticket on Microsoft Admin Center and attaching the Conversation ID visible in the error (SystemError), so the Microsoft team can investigate any recent platform-side changes.

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