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Description
Context
As explained in #19853 (comment), Azure Identity SDK was dropped during MSAL migration. With that, the experimental CAE (Continuous Access Evaluation) support was dropped.
We need to support CAE in the new MSAL-based Azure CLI.
Problems
MSAL
MSAL.PY returns revoked access tokens even after re-login and updating the refresh token (AzureAD/microsoft-authentication-library-for-python#335). This imposes some complexity in supporting CAE.
Track 1 SDKs
Python SDK Track 2 has now supported challenge through azure.mgmt.core.policies._authentication.ARMChallengeAuthenticationPolicy, but there are still many Azure CLI modules or extensions based on Track 1 SDKs and there is and will be no CAE support for Track 1 SDKs (#20460).
Microsoft Graph
According to my observation, Microsoft Graph has already enforced CAE. However, there is no Python SDK for Microsoft Graph and we use our own light-weight client to call Microsoft Graph API (#12946). We need to make that light-weight client support CAE as well.