Starting on January 27th, 2025, any OneDrive user accounts that have been unlicensed for over 93 days will be inaccessible. This means that users will not have access to their accounts if they do not have a valid license associated with it. Accounts become unlicensed when the admin removes the license or when the user is deleted from Entra ID. These unlicensed accounts will be automatically archived and can still be viewed by admins, but they will not be accessible to users until action is taken.
Admins will be notified ahead of time when an account is about to become unlicensed through the Microsoft 365 Message Center. Admins are advised to review retention policies, move important data to licensed accounts or SharePoint sites, and enable billing for archived unlicensed OneDrive accounts to ensure a smooth transition. Admins can also generate reports on unlicensed accounts through the SharePoint admin center to track the number of unlicensed accounts, storage used, and reasons for unlicensing.
There are three options for managing unlicensed OneDrive accounts for admins:
1. Set up billing for archived unlicensed accounts in order to access and edit the files.
2. Delete the unlicensed account if there is no retention policy applied.
3. Re-license the
