Summary:

Multiplayer worlds via Xbox Live do not appear in the Friends tab when a player’s Microsoft/Xbox Live online status is set to “Appear offline.”

Expected behavior:

• Online multiplayer worlds via Xbox Live appear in the Friends tab on friends’ devices when a player’s Microsoft/Xbox Live online status is set “Appear online.”
• Online multiplayer worlds via Xbox Live appear in the Friends tab on friends’ devices when a player’s Microsoft/Xbox Live online status is set “Appear offline.” (Observed behavior for versions prior to 1.8.x)

Observed behavior:

• Online multiplayer worlds via Xbox Live do not appear in the Friends tab on friends’ devices when a player’s Microsoft/Xbox Live online status is set “Appear offline.”
• Note: Players on mobile and Nintendo Switch platforms are unable change their Xbox Live account’s online status via the mobile Xbox App or Xbox.com website. 

Steps to Reproduce:

1. Host: Change Microsoft/Xbox Live online status to “Appear offline” via the Xbox App (Windows 10) or Xbox Dashboard (Xbox One).
   • Note: Players on mobile and Nintendo Switch platforms are unable change their Xbox Live account’s online status via the mobile Xbox App or Xbox.com website.
2. Host: Create a world with multiplayer enabled in World Settings → Multiplayer
3. Friend: Observe if world appears in Friends tab

Configuration:

I have tested and can reproduce this issue using version 1.8.0/1.8.1 on Nintendo Switch, iOS, Windows 10, and Xbox One with four different Microsoft Xbox Live accounts and each acting as the host.

Game

• Create and load a world with multiplayer enabled in World Settings → Multiplayer
• Set multiplayer setting to “Friends Only” or “Friends of Friends”
• Toggle “Visible to LAN Players” off (to isolate to Xbox Live broadcasting; also tested toggled on with same results except on Switch where it’s not an option)

Microsoft/Xbox Live Account

• All players are signed in to their own Microsoft/Xbox Live account
• "Join multiplayer games” is set to “Allow”
• “Others can communicate with…” is set to “Friends”
• Online status set to "Appear offline" (Either by default or set by player)

Devices

• All devices connected to Wi-Fi with an open NAT type
• Nintendo Switch account has a Switch Online membership
• Microsoft/Xbox Live account has Xbox Live Gold subscription
• iPhone 8, iOS 12.1
• Lenovo Yoga 720, Windows 10 (1809)
• Xbox One S, OS 10.0.17763.3065
• Nintendo Switch, OS 6.2.0

Workaround(s):

• All platforms: Friends can still join the host’s world if the host player manually sends them a game invite.
• Mobile and Nintendo Switch platforms: No workaround available using these platforms. Players who also have a Windows 10 or Xbox One device, see workaround for those platforms.
• Windows 10 and Xbox One platforms: The multiplayer world will appear in the Friends tab if the host player changes their Xbox Live account’s online status to “Appear online” via the Xbox App (Windows 10) or Xbox Dashboard (Xbox One).