JSI Tip 1312. "A Specified Logon Session Does Not Exist" with telnet.

When you map a drive to a network share, in a telnet session, you receive:

A specified logon session does not exist. It may already have been terminated.

The telnet session is using NTLM authentication. The problem does not occur if the authentication method is clear text.

Windows NT does not perform delegation of security for network logon attempts.

Example:

Log onto ComputerName2 from ComputerName1 using NTLM.
Typing: net use \ComputerName3Share fails.

Reason:

ComputerName2 has an incomplete user token, NTLM does NOT send the password across the network.
Logon attemps from ComputerName2 to ComputerName3 fail as NTLM is a challenge/response protocol.

To work around this problem in a telnet session, type:

net use \ComputerName3Share /u:DomainNameUserName