How does AAM recognize if user is in the authenticated state ?

Hi there,

It's when you implement Customer ID sync on website or app and use Authentication States (0,1 or 2) with Customer ID sync:

Please check this doc on Authentication States:

https://docs.adobe.com/content/help/en/audience-manager/user-guide/reference/visitor-authentication-states.html

Thanks,

Varun Kalra