On an on-premises site, telemetry stops reaching the Citrix License Server, and telemetry events are no longer recorded, with no obvious error surfaced in the console or Windows event log (the failure is silent on affected versions).
When CDF tracing is enabled on a Delivery Controller, you see repeated HTTP 401 (Unauthorized) responses on the POST ls_token/create request made by the Configuration service to the License Server. These repeated errors are also logged in License Server logs.
Impacted Environment Details:
The Configuration service authenticates to the Citrix License Server using a stored connection key. If that key becomes out of sync with the License Server (for example after a License Server reinstall, re-registration, or certificate change), the License Server rejects the token request with HTTP 401. On affected versions this error was caught and logged but not acted upon — the stored key was not invalidated, so the controller kept reusing the stale key and never re-registered. As a result, license-usage telemetry failed silently and indefinitely.
Prerequisites
Procedure - perform on one Delivery Controller at a time (so the site stays serviceable), then repeat on every controller.


Verify the fix:
Rollback If needed, stop the service, restore Citrix.Configuration.Logic.dll.backup over the replaced file, and start the service - on each controller where the change was made.
Fix Locations:
Telemetry in Citrix Virtual Apps and Desktops on-premises environments can silently fail due to a stale license server connection key causing HTTP 401 errors. This issue prevents telemetry data from reaching the Citrix License Server, impacting usage reporting without visible errors.