SOLVED: Touch ID on Magic Keyboard not working on Mac when in Clamshell
I use my 13inch M1 Mac in clamshell mode hooked up to a monitor, mouse, and Magic Keyboard with Touch ID. It's worked great for a year but this week the TouchID stopped working on the Magic Keyboard and I had to open my Mac to use Touch ID.
To fix it I did the following and want to share in case it helps someone else:
1) On Mac: Settings>Bluetooth : "Forget this device
2) Unplug Keyboard from USB/Lightning
3) Turn off Magic Keyboard
4) Wait a minute
5) Plug everything back in
Touch ID works again... Yay!
MacBook Pro 13″, macOS 11.0