Context: 

Setting up Email print with Exchange 2016

Issue:

When trying to connect Email print with Exchange Web Services, on Exchange 2016, I get the following error message, regardless which settings I modify.

Incoming mail test failed. Your settings do not appear to be correct.

Error details: Unable to open session: 401 Not authorized: 1) You may have mistyped your username or password or 2) Your organization does not allow basic or ntlm authentication.

Resolution:

Change EveryonePrint Email print setup in order to use the new EWS2 connection method as described in this KB article.