Knowledge base

January 01, 2025

OneDrive Changes 2025: What Does This Mean for Microsoft 365?

 

Starting Jan. 27, 2025, organizations using Microsoft 365 may be in for an unpleasant surprise. Microsoft is making changes around the use of unlicensed OneDrive accounts. This change could result in significant additional costs if you are not prepared for it. 🚨

What exactly is changing? 🧐

Microsoft has announced that unlicensed OneDrive accounts (such as shared accounts or accounts without a specific license) will soon no longer be supported for free¹. This means:

  • Stricter enforcement of license terms.
  • Possible blocks or restrictions on unlicensed accounts.
  • Additional fees if you want to continue using these accounts.

 

 

What does this mean for your organization? 🏢

If your organization relies on shared accounts for collaboration or storage, the costs can add up significantly. Consider, for example:

  • IT departments managing shared accounts for temporary projects.
  • Departments such as HR or Marketing that use general storage locations.
  • Unused accounts left behind after staff changes.

These accounts will require a valid license from now on, which may affect your budget planning.

 

 

How can you prepare? ✅

To avoid surprises, it’s important to take action now. Here are a few steps you can take:

  • Inventory all your accounts:
    Check which accounts are active and whether they have a valid license. Don’t forget to delete inactive accounts as well.
  • Assess your license usage:
    Make sure all users with access to OneDrive are appropriately licensed.
  • Communicate within your organization:
    Brief teams and departments on the changes and explain why it is important to manage licenses properly.
  • Consider alternatives:
    Are there shared storage solutions within Microsoft 365, such as SharePoint, that better suit your needs?

 

 

How can we help you? 🤝

Understanding and optimizing license management can be complex, but you don’t have to do it alone. We are here to support you with:

  • A complete audit of your Microsoft 365 environment.
  • Optimizing your license usage to save costs.
  • Strategic advice on using shared storage solutions such as SharePoint or Teams.
  • Implementation and training for a smooth transition to compliant working.

Want to get started on this right away? Get in touch with us! 📩
We’d love to help you save costs and get the most out of your Microsoft 365 environment.

 

Frequently asked questions (FAQ)²

 

❓ What is meant by unlicensed OneDrive accounts?

Unlicensed OneDrive accounts are accounts that do not have a valid license within the Microsoft 365 environment. For example, these can be accounts that:

  • Shared by multiple users.
  • Not having a specific license assigned.
  • Obsolete and no longer in active use.

As of Jan. 27, 2025, these accounts will no longer be supported without a valid license.

 

 

❓ What will happen to unlicensed OneDrive accounts as of Jan. 27, 2025?

As of Jan. 27, 2025, Microsoft is making the following changes:

  • New unlicensed accounts:
    OneDrive accounts become inaccessible after 93 days of deleting a license or user.

    • Example: An unlicensed account as of Aug. 1, 2025 becomes inaccessible as of Nov. 2, 2025.
  • Existing unlicensed accounts (before Oct. 26, 2024):
    These accounts will be archived between the end of January 2025 and the end of March 2025.

Taking timely action will prevent you from losing access to important data. Contact us for help! 🚀

 

 

❓ How do I know if I am using unlicensed accounts?

You can perform an audit in your Microsoft 365 environment to identify all active and inactive accounts. While doing so, pay attention to accounts without an assigned license. You can do this through the Microsoft 365 management center or with third-party tools.

 

 

❓ What should I do if I am using shared accounts?

Shared accounts are best replaced with:

  • A shared SharePoint site: Ideal for teams and project groups.
  • Microsoft Teams: For collaboration and file sharing.
  • Licensed accounts: When individual access is required.

 

 

❓ Can I migrate my OneDrive data to another solution?

Yes, it is possible to migrate data. Popular options within Microsoft 365 are:

  • SharePoint: For shared storage.
  • Teams: For collaboration within a specific group.
  • Licensed OneDrive accounts: For personal storage.

A migration requires planning to avoid data loss and downtime¹.

 

❓ Does this change also apply to OneDrive for Family and Home subscriptions?

No, these changes do not apply to OneDrive accounts purchased through Family and Home subscriptions. These subscriptions lack integration with SharePoint and Entra ID, so the new licensing requirements do not apply here. 😊

 

 

❓ How can I minimize the cost of this change?

To reduce costs:

  1. Analyze your current license usage.
  2. Delete inactive accounts.
  3. Optimize your collaboration tools, such as SharePoint or Teams.
  4. Seek advice from experts for a customized strategy.

💡 Pro tip: Taking action now will not only prevent additional costs, but also improve efficiency and safety within your organization!

 

References

 

¹https://learn.microsoft.com/sharepoint/unlicensed-onedrive-accounts ²https://learn.microsoft.com/sharepoint/unlicensed-onedrive-accounts#frequently-asked-questions ³https://alta-ict.nl/blog/migratie-naar-microsoft-365-alle-mogelijkheden-op-een-rijtje/

 

 

About the author

My name is Alta Martes, a specialist in Microsoft 365 and Google Workspace, with a focus on modern workplace management, cloud security and identity & access management. With years of experience, I help organizations optimize their IT infrastructure and create a secure, efficient digital workplace. 🎯 Need help with your Microsoft 365 strategy?
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