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Guest Users vs. External Users
At this point, I cannot see any difference between the two wordings: it appears to me that "Guest User" and "External User" have exactly the same meaning, with the former being only a more "modern" w...
I agree there is a confussion around both terms that should be clarified...indeed to make it even more difficult, you can create "guests users" in Office 365 and then you will be able to invite them as external users in SPO Sites. By the way, adding here some folks to discuss about this: TonyRedmond VasilMichev cfiessinger