Unable to Start ArcGIS for Desktop When FME is Extended and in Use

As of FME 2022.0, the FME Integration Console will no longer be available in FME Desktop. For more information, please see the FME Integreation Console Deprecation article.

Symptom

This issue most often occurs when using a floating license configuration with only 1 FME license, but can also happen when all licenses in a multi-license configuration are in use. Until there is a free license, ArcGIS will not finish starting up, appearing to freeze on the startup screen.
 

Cause

This is caused when FME has extended ArcGIS, replacing the Data Interop extension. It will happen even if the FME and/or Data Interop extension has been disabled, since FME briefly checks out a license on ArcGIS startup, before returning it.
 

Resolution

To stop this issue from occurring you can either increase the amount of FME licenses available by the floating license server or turn off the FME Extension for ArcGIS.

To turn off the FME Extension for ArcGIS:

1. Within ArcGIS, open the extensions menu: Customize -> Extensions. Unselect "FME Extension for ArcGIS". Note: this should be done when the FME license is not being used, so that ArcGIS can start up.
2. Run the FME Integration Console on and make sure that "FME Extension for ArcGIS" is not extended.

After completing the process above, please check that ArcGIS will start when running FME at the same time.