If you are having issues inviting your friends to your group, inviting them using the Xbox friends app or party chat will not work. You have to use the in-game friend list, friend finder located under Social when you hit start.
We’re aware that there’s an issue where your friends list from Xbox Live and the PlayStation Network is not properly populating in-game, and are working on a fix for this. We have two workarounds that you can try while we work on fixing the issue:
You can create a guild and invite your friends. This way, you can still easily group together, see when they’re online, send mail, etc. Note that you need to be at least level 10 to create a guild.
You can try removing your friend completely from the Xbox One or PlayStation 4 friends list, then re-adding them through the ESOTU UI.
In the event you’re having trouble grouping with friends due to this issue, go to Menu – Social – Group – Invite Player, then enter the respective Xbox Gamertag or PSN ID.
Friends list is not the only issue. Getting "account not found" when trying to invite player to guild. Correct spelling and have played several other games with this person. Even had other guild members try to invite but they all get the same message. He shows up on friends list in game and can group with them, just cannot invite to guild. Need another option to do this either from the friends, group list or interacting with them.
Ok good to know the devs are aware of this and trying to sort it out. This is a big launch and problems are to be expected, but often communities are left in the dark about what is happening. You guys have been doing a great job of keeping us informed and I appreciate it. Thank you.