Office 365 - 2016 App-V license activation

The goal is to have an App-V of Office 365 - 2016.
I did download the C2R tool, make a nice XML according to my demands.
First download command, then packager command, which created an App-V.

But when start word from the App-V, I am unable to activate Office with my KMS server.
Does 365 support this anymore?
Is there another way I should create a Office 2016 App-V?
Any official statement from Microsoft that volume licensing is discontinued?

I know I can activate with email account via cloud, but that is not what I want.
the OSPP.vbs /act function doesn't effect Office, also when I install it (not App-V).

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