humbeglez You are mentioning that SMTP Auth will be available with Basic authentication after January 2023. I'm fine with that. Additionally the article mentions:
We will not be disabling or changing any settings for SMTP AUTH.
Customers are now confused why within the Diag Settings for Self Opt-Out list SMTP as a protocol. If you don't do anything, why is SMTP listed within the Opt-Out option?
The June 2022 Update here https://techcommunity.microsoft.com/t5/exchange-team-blog/basic-authentication-and-exchange-online-june-2021-update/ba-p/2454827 states:
Because unlike the other 8, all we’re doing to disable Basic Auth for SMTP AUTH is set SmtpClientAuthenticationDisabled to $True for tenants, and you can just go right ahead and turn it back on (set to $False) if you subsequently decide you need and want to use it.
Are there now changes for SMTP or not?