Unable to create Azure AD DS: Missing service principal

During the deployment of Microsoft Entra Domain Services, the following error was encountered:

"The service principal with appId '2565bd9d-da50-47d4-8b85-4c97f669dc36' could not be found in the Azure Active Directory tenant."

It has been confirmed that the account is a Global Administrator, and it has been verified that this appId corresponds to a Microsoft-owned service required by the AD DS backend. An attempt to create the service principal manually returns a 403 error.

Assistance is needed to investigate and restore the missing service principal to complete the Azure AD DS provisioning.

PS C:\Users\yogesh> New-MgServicePrincipal -AppId "2565bd9d-da50-47d4-8b85-4c97f669dc36"
New-MgServicePrincipal : Insufficient privileges to complete the operation.
Status: 403 (Forbidden)
ErrorCode: Authorization_RequestDenied
Date: 2025-05-14T21:23:02
Headers:
Transfer-Encoding             : chunked
Vary                          : Accept-Encoding
Strict-Transport-Security     : max-age=31536000
request-id                    : XXXXXX
client-request-id             : XXXXXX
x-ms-ags-diagnostic           : {"ServerInfo":{"DataCenter":"Australia
East","Slice":"E","Ring":"5","ScaleUnit":"000","RoleInstance":"SY3PEXXXXX"}}
x-ms-resource-unit            : 1
Cache-Control                 : no-cache
Date                          : Wed, 14 May 2025 21:23:02 GMT
At line:1 char:1
+ New-MgServicePrincipal -AppId "2565bd9d-da50-47d4-8b85-4c97f669dc36"
+ ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
    + CategoryInfo          : InvalidOperation: ({ Headers = , b...vicePrincipal }:<>f__AnonymousType1`2) [New-MgServicePrincipal
   _CreateExpanded], Exception
    + FullyQualifiedErrorId : Authorization_RequestDenied,Microsoft.Graph.PowerShell.Cmdlets.NewMgServicePrincipal_CreateExpanded