can’t connect to Office 365 by using Powershell

I recently came across this error when trying to connect to Microsoft online.

Please see Microsoft’s support article: Article ID: 2494043 http://support.microsoft.com/kb/2494043

The cause can be a number of things:

The Windows Azure Active Directory Module for Windows PowerShell rich client can’t connect to Microsoft Office 365 resources. This is frequently the result of client computer readiness issues.
The user name or password that you are using is incorrect or a problem exists with the user account.
The user ID that’s used to authenticate is single sign-on (SSO)-enabled and a client computer problem is preventing SSO communication to Active Directory Federation Services (AD FS), to the Windows Azure Active Directory authentication system, or to both.

I updated the online services sign in assistant and azure powershell module and everything started working again.