Configure Test Controller for Visual Studio Team Services and MTM

I am trying to configure Visual Studio Team Services with a Test Controller so I can use Azure VM's for my Lab Management.

I have created a new Azure VM (Windows Server 2012 R2) and installed the Test Controller on it. I've run the Test Controller Configuration tool and connected it to my Visual Studio Team Services Default Collection. The configuration tool doesn't show any errors and informs me that the controller is correctly configured.

On my local development machine I've launched MTM to create a new standard environment for the Azure VM. However, when I switch to the Controllers tab, I can see my TFSController but it is shown as offline with the following message:

'The test controller is currently unavailable. Ask your administrators to connect to the test controller machine, launch the test controller configuration tool, and re-configure ith with the correct Team Foundation Server and team project collection. Alternatively, look at the events in event viewer of the test controller machine to identify the problem. Once the problem is resolved, click Refresh'.

The event log on the VM running the test controller doesn't show any errors. I've tried re-configuring the controller configuration with several combinations of credentials (local account, the username/password for the account that I use to logon to the VM and the same for the lab service account).

What am I doing wrong? Do I need to do something else because the Test Controller is running on an Azure VM?

It is not posible to connect a Test Controller/Agent to Azure DevOps or TFS 2018+. This is deprecated and a new solution using Azure Pipelines has been created.

You can then run tests directly from the Azure Test Plans page.

Find the full docs here: https://learn.microsoft.com/en-us/azure/devops/test/run-automated-tests-from-test-hub?view=vsts