I have been facing the exactly the same problem.
I don't face this problem most of the time, happens only on rare occassion that too only in Production app, around 5 errors when 45 successful, so i face this only 10% of times.
Wasn't able to reproduce it in local app.
Added loggers to check the redirect url and chrome.runtime.error, redirect url has no problem works as expected, the runtime error says
"Authorization page could not be loaded."
checked the browser versions too.. the problem is not related to particular browser version
This is how my code looks like,
chrome.identity.launchWebAuthFlow({'url': authUrl, 'interactive': true}, function (redirectUrl) {
console.log(redirectUrl); // this is undefined on very few occasions
}
1. Is that a problem with chrome.identity or am i missing out something
2. Is there any other alternative to chrome identity that i can use to avoid this facing this error