This issue should be resolved with patch 0.4.0. If you continue to experience this issue, please reach out to us through our support site to let us know.
Some players using the Xbox or Microsoft Store versions of Grounded are having trouble finding the lobby being hosted by their friends.
Need more information from players and DxDiag.
Xbox One, PC
Some players have found that attempting to search for the host lobby multiple times eventually resulted in having the lobby appear.