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What does "any registered company/school/university address" mean?

Some years ago, I activated some Office licenses using my company email; we never did any hosting with O365 or whatever was it's predecessor, and at the time, everything went fine. All I had to do was to create live account using that email address.

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The error message is along the lines: "You can't sign in here with a personal account. Use your work or school instead".

Which means, that you need to associate your existing account with an @outlook.com address. It seems, that Microsoft changed that requirement somewhere in 2020/2021.

Yes, previously Microsoft account with whatever email address was enough. But they changed that.

I stumbled upon that while upgrading to new hardware, which requires new activation of the Office products.

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