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When isFederatedUser setting set to true?

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When isFederatedUser setting set to true? Fusion Cloud ERP and

Content (please ensure you mask any confidential information):

We have OracleCloudIdentityService domain and various other domains tied to ERP instances.

We use Azure SSO for Single signon for Fusion Cloud login and to

I see some person users (not service accounts) with isFederatedUser = true and some users isFederatedUser = false in OracleCloudIdentityService we know that the user has logged into ERP and/or to using Azure SSO.

In the domain tied to ERP, it shows the same users as isFederatedUser = true

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