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The domain name has to be resolved by a DNS server, which in your case it can be an Active Directory Domain Controller.

One possible solution to this issue(but this depends on your environment setup), is to add the AD Domain Controller ip to your neutron private network dns servers(if applicable).

If you can provide more information on your environment(networking stack used, if you have a dhcp server in the network), it would be helpful to better understand how to solve this issue.