Hi,
I just had this issue with my steam MSFS ever since launch it never worked… Until now.
- Sign into your MS account in browser- Account>Devices with the affected Xbox/MS account.
- Scroll down and click ‘Clear synced settings’ .
- I also ‘Unlinked’ my PC from the device list, in hopes it would clear the borked red man error.
- For good measure, uninstall MSFS2024 using Revo uninstaller (free download) - and follow the clean up steps afterwards, which will clear all files/folders associated with MSFS (ensures clean install).
This should allow you to select a character again.