Microsoft accidentally blocks people from editing OneDrive for Business files

What you need to know

• The storage limit of OneDrive for Business is accidentally being lowered for some users.
• The same issue switches stored files for some OneDrive for Business users to read-only mode.
• Microsoft has identified a fix for the issue and is testing it now

Updated August 26, 2021 at 1:35 PM EST: Microsoft explains that it's identified a fix for the issue but that it is still determining the full scope of impacted users. The company will determine the scope of the issue and then remediate it.

Microsoft's OneDrive for Business has an issue that wrongly restricts people's access to stored files. The bug makes the storage limit of OneDrive for Business accounts return to the default cap of 1TB, which switches some files to read-only mode. People have had to delete files to free up space in order to continue working.

"We're investigating an issue in which users' OneDrive for Business storage limits are lower than expected," says the Microsoft 365 Status account on Twitter (via Bleeping Computer).

According to Microsoft, the cause of the issue is OneDrive for Business not recognizing people's licenses. As a result, the cloud storage service reverts to the default limit of 1TB. The same incident also causes people to not be able to edit some of their stored files. Instead, OneDrive for Business only allows affected accounts to read files over the 1TB limit.

This issue could affect a large number of major corporations. According to Microsoft, 85% of Fortune 500 companies use OneDrive for Business.

Fortunately, Microsoft has already identified a fix for the issue and is testing it now. This is a developing story and we'll update it as more information comes in.