PSA: Microsoft will automatically archive unlicensed OneDrive Business accounts from January 2025 and charge $0.60/GB to reactivate


What you need to know

  • Microsoft will start archiving unlicensed OneDrive Business accounts for over 90 days from January 2025.
  • Archived unlicensed accounts will attract a monthly fee of $0.05 per GB for storage in the Microsoft 365 Archive.
  • Affected users will pay $0.60/GB to reactivate archived accounts, which can take up to 24 hours.

Microsoft recently announced critical changes to its storage policies for unlicensed OneDrive accounts. The company will start archiving unlicensed OneDrive accounts from January 2025 (via Petri). For context, this will apply to accounts that have remained unlicensed for over 90 days.

Users won’t have access to their unlicensed OneDrive accounts once archived. The only way around this is through admins who will be required to enable unlicensed account billing in the Microsoft 365 admin center.





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