When we upgraded our Windows 10 VDI’s to 20H2 from 1909 we noticed that the Internet icon stayed on NO INTERNET. Office 365 will use this status and will be unable to activate.
Our fix was to make sure the service RasMan (Remote Access Connection Manager) was running. This was not the case in our VDI environment. See below what service needs to be running!
See the following link for the default service status: http://revertservice.com/10/rasman/
As you can see the service should be running Automatic, but for some reason the service was set to manual. Most possibly by an optimization script such as Citrix Optimizer.
After starting the service the icon went to normal again. Sometimes the solution is so easy you might forget it.