I was forced by my company to update osx, and now my Home Office setup sucks.
Could we have some more official statement regarding the problem? Sometimes the workaround is not working and manager is not recognizing displays.

I'm using i-tek docking station.

Hello,

well, I have to say it works for me:
MacBook Pro M1
HP universal docking station G2
2 external monitors Fujitsu.
macOS 11.1
DisplayLink 1.2.0 (Build 55.125)

I just need to login with the Lid open to mac OS, so the displaylink loads and then I can close the MacBook and put it under the table with no problem.
The only thing I had to do was to change the settings of MacBook (Settings -> Battery -> Power Adapter -> checked "Prevent computer from sleeping automatically, when the display is off". Without that I had a problem with waking up the MacBook.
And no additional software/app installed.

Same here - the fix is taking way too long. Should have researched more before choosing this.

Using workarounds will only take you so far. Amphetamine is not a graceful fallback either - keeps the laptop screen awake.

Hey, I had the same issue. But I have a suitable workaround. I plugged one of my two monitors directly into the Macbook. The second monitor runs via displaylink doocking station. Now I have no issue when closing the lid. The Macbook recognize my first Monitor and keeps awake.

Regards,
Stephan

Alban, please provide some sort of timeline for this. You obviously have tons of unhappy customers. I am going to purchase another brand for my employees because I have not choice at this point. I'm hoping to be able to use my DisplayLink down the road sometime. It is honestly crazy that we cannot get a response

What settings do I need in „amphetamine“ to make clamshell work?

closed-display mode is crucial fo me too, the only way i got this to work with a 2019 Touchid model and catalina 10.15 was with the -- DisplayLink USB Graphics Software for macOS PREVIEW 5.2.1 Beta 2.dmg
driver.

macOS DisplayLink 5.2.1 beta 2 driver:
https://www.displaylink.com/downloads/file?id=1433

maybe 5.2.1 plain , may also work, but i did not test this
https://www.displaylink.com/downloads/file?id=1478

5.2.5 failed for me, and i did not test 5.2.4
but the newest with the manager failed for me.

The 'amphetamine' app did not work for me, unfortunately... I actually tried all of the suggestions in the comments and nothing seems to work for me...

Hey Folks, just thought I'd chime in. Another user mentioned 'amphetamine' and I decided to try it out. Works great to fix this issue. Running a couple monitors with my MacBook closed. It's a free app on the Mac app store.

Waiting on the update!

While waiting for a proper Clamshell integration, I just installed "Amphetamine" (free), which "solved" the disconnect/connect of my two screens.

Just brought a new dock station with display link...and everything was fine until i decide to close the macbook lid...same problem as described here...installing the legacy version fixed for me for now...but im on macOS Big Sur...so i think this is not ideal...waiting on the update!

Clamshell mode does not appear to be working for me as well - OSX 11.1
MacBook Pro (Retina, 13-inch, Early 2015)
If I leave the lid open, everything works - once I close the lid, I am prompted to log in, I get to my desktop and in 5 seconds the screen goes blank. If I press a key it prompts me to log in again. The cycle then continues. - wondering if I have my settings wrong but it doesn't appear to be the case.

linus - with your option #2, do you quit the app, then unplug the usb-c, close the lid and plug it back in? My macbook doesn't turn back on and nor do the screens

it's quite annoying indeed to see external monitors gone once I've put the lid on mac.
only workarounds that work for me is followings:

1) Just uninstall the display link manager.app and reboot mac.
2) if you don't want to uninstall it, quit the display link manager.app and RE-plug in the usb-c cable of the dock. Once you've put the lid on your mac, your external monitor will your main screen!

Is this the same issue as my DispalyLink consistently crashing my M1 MacBook Pro over and over unless i unplug the Targus from my machine?

Please sort this!!

Having the same issue. Looking forward to the solution

Alban Rampon - do you have a timing estimate? Thanks

What I love is that the new driver gives support for more overpriced Macs and expensive 5K screens (5K really!?) instead of fixing an actual problem that almost every Mac user has. Unfortunately as an owner of a 2014 Macbook Air, there is no other dock since I don't have USB-C, so I am stuck having to having my screen open and having to open it to move my documents that opened on the laptop screen over to a big monitor.