Microsoft 365: Changes to storage space – what users need to know now

Microsoft is making fundamental changes to the storage management of its personal Microsoft 365 subscriptions. Instead of the previous limit of up to 6 TB, families will in future only receive 2 TB of shared OneDrive storage. At the same time, Microsoft is introducing a more flexible storage model. What does this mean for existing customers, privacy and the use of OneDrive?

With effect from 8 October 2026, Microsoft has amended the storage terms for several personal Microsoft 365 subscriptions. The Microsoft 365 Family and Microsoft 365 Premium plans are particularly affected.

Whilst up to six people were previously able to use 1 TB each of their own cloud storage, in future only a shared storage pool of 2 TB will be available.

This corresponds to a reduction in the maximum available storage space of around 67 per cent.

Microsoft justifies the change on the grounds that it allows for more flexible use of storage space. For families with high storage requirements, however, the change represents a significant restriction.

1. What exactly is changing?

Until now, each person on a Microsoft 365 Family subscription has had their own OneDrive storage space with a maximum capacity of 1 TB.

With six users, this amounted to a total of 6 TB of storage space.

Under the new model, this fixed allocation is no longer in place. Instead, all users access a shared storage quota.

A comparison of subscriptions

The changes therefore mainly affect subscriptions that can be shared amongst several people.

Microsoft 365 Single remains unchanged and continues to offer 1 TB of personal OneDrive storage.

2. How does the new storage allocation work?

A key new feature is the automatic allocation of available storage space.

Until now, each user was limited to their own 1 TB storage space. Even if other family members hardly used their storage space, it could not simply be transferred.

In future, this restriction will no longer apply.

All six users access the same 2 TB storage pool. The storage is automatically allocated as required.

Example of a family of six

It is not necessary to allocate the storage space manually.

The system automatically takes actual consumption into account.

Advantage of the new rules

In future, users will also be able to store more than 1 TB, provided there is sufficient space available within the shared quota.

For example, one person might use 1.5 TB, whilst the rest of the family members together use 500 GB.

Disadvantage of the new rules

In theory, a single user could use up almost all the storage space.

This means there is correspondingly less storage space left for the other family members.

Microsoft does not currently document any feature that allows the subscription holder to assign fixed storage limits to individual users within this shared quota.

This increases flexibility, but at the same time the previously guaranteed storage allowance of 1 TB per person is no longer available.

3. Do the files remain private?

One important issue concerns data protection.

If all family members share the same storage space, does that mean they can all access all the files?

No. Personal data remains separate.

Everyone still uses:

• Your own Microsoft account
• A personal OneDrive space
• Your own files and folders
• Your own access permissions
• Customised sharing settings

Other family members cannot automatically access personal documents, photos or backups.

Even the holder of the family subscription does not have access to other users’ private files due to the shared storage management system.

Files can still be shared with specific individuals.

Microsoft thus makes a clear distinction between the shared use of storage quota and access to stored content.

4. When do the changes come into force?

Microsoft distinguishes between new and existing subscriptions.

New customers

Since 8 October 2026 The new storage model applies to new Microsoft 365 Family, Premium and Pro subscriptions.

The new terms and conditions also apply when renewing a subscription that has already expired.

Existing customers

Anyone who already had a relevant subscription before 8 October 2026 may continue to use the existing storage conditions for the time being.

According to Microsoft’s specific documentation on the storage transition, the change for Family and Premium plans will take place upon the first subscription renewal on or after 2 May 2027.

Microsoft will notify affected customers by email before the changeover.

Important: Changing your subscription early may result in the new storage conditions coming into effect sooner.

For example, when switching from Microsoft 365 Family to Premium, the new storage model can be activated straight away.

Please note: Another Microsoft support page states 1 April 2027 as the transition date, which differs from the above. You should therefore refer to the specific details regarding your individual subscription renewal.

5. What happens if more than 2 TB has already been stored?

The changeover will be particularly problematic for families who make extensive use of their current storage space.

Let’s say that six people are already using a total of 4 TB of OneDrive storage.

Following the migration, the existing data set will significantly exceed the new limit of 2 TB.

Microsoft explains that saved files are not deleted immediately.

Affected users will receive notifications when their storage usage approaches the available limit.

However, if this limit is exceeded, functions such as uploading, editing and synchronising files may be restricted.

Under certain conditions, Microsoft is allowing affected customers up to one year to adjust their storage usage.

However, it is not intended that the available storage limit should be exceeded on a permanent basis.

6. Additional storage space can be purchased

Microsoft still allows users to purchase additional OneDrive storage.

From now on, any additional storage purchased will be added to the shared storage pool.

This means that, in principle, all members of the subscription scheme will benefit from the extension.

According to Microsoft, the total OneDrive storage capacity can be increased to up to 10 TB be expanded.

However, this does entail additional costs.

For families in particular who have previously used several terabytes of storage space, the switch could therefore lead to higher overall costs.

7. Microsoft 365 Pro now offers 5 TB of shared storage

As well as Family and Premium, Microsoft also offers the Microsoft 365 Pro subscription.

In future, this will offer 5 TB of shared OneDrive storage for up to six people.

This means there is significantly more storage space available than with the Family or Premium plans.

However, even this allocation is below the maximum of 6 TB that has been possible to date for six users.

According to Microsoft, the migration of existing Pro subscriptions will take place at a later date.

For users with particularly high storage requirements, Pro could be an alternative. Whether it’s worth switching, however, also depends on the subscription price and the additional features included.

8. What other features does Microsoft 365 offer?

As well as cloud storage, personal Microsoft 365 subscriptions include a range of applications and services.

These include, in particular:

Microsoft Word: Word processing for documents, letters and reports.

Microsoft Excel: Spreadsheet software for calculations, analyses and charts.

Microsoft PowerPoint: Creating and editing presentations.

Microsoft Outlook: Managing emails, contacts and appointments.

Microsoft OneDrive: Cloud storage for files, photos and synchronisation between different devices.

Microsoft Defender: Additional security features for supported devices and accounts.

Microsoft Teams: Communication and collaboration via chat and video meetings.

Microsoft Copilot: AI-powered features that are increasingly being integrated into Microsoft 365 applications.

The availability of individual features depends on the specific subscription.

There are differences between the Family, Premium and Pro versions, particularly when it comes to AI features.

With Microsoft 365 Family, for example, certain AI features are reserved for the subscription holder and are not automatically available to all six users.

Important: Not all of these applications are new. The main change at present relates to the storage model. The remaining features are already part of the Microsoft 365 suite or are being developed independently of it.

9. What benefits does Microsoft see in the transition?

Microsoft cites, in particular, a more efficient use of available storage space as the reason for the change.

Under the previous model, unused storage space allocated to individual family members remained unused.

With the shared storage pool, this storage will be available to everyone in future.

Microsoft highlights the following benefits in particular:

• Automatic memory allocation based on actual requirements
• No fixed limit of 1 TB per user
• Sharing of additional storage purchased
• OneDrive sections that remain separate and private
• Less unused storage capacity within a subscription

However, there is a crucial catch to this line of reasoning:

Whilst Microsoft is improving the allocation of storage space, it is at the same time reducing the total amount of storage by two-thirds.

For families who have used very little storage to date, the change is unlikely to have much of an impact.

On the other hand, anyone who has several terabytes of photos, videos or documents stored in OneDrive will need to rethink their storage strategy.

10. What should Microsoft 365 users do now?

Existing subscribers should make arrangements in good time to prepare for the change.

It is particularly important to check the storage usage of all family members.

Anyone who uses less than 2 TB in total should be able to use the new model without any major adjustments.

If memory usage is high, alternatives should be considered in good time.

These include, for example:

• Delete files you no longer need
• Archiving large data sets locally
• Buy additional OneDrive storage
• Consider switching to Microsoft 365 Pro
• Compare alternative cloud storage solutions
• Consider using your own storage solution, such as Nextcloud or a NAS

It should also be borne in mind that cloud storage and data backup serve different purposes.

It is still advisable to make an additional, independent backup of important files.

Conclusion: Greater flexibility, but significantly less storage space

By switching to a shared storage pool, Microsoft is fundamentally changing the way OneDrive is used within private family subscriptions.

Automatic allocation of storage space makes perfect sense. Family members with high storage requirements will in future be able to use other people’s unused capacity.

At the same time, however, Microsoft is reducing the total storage capacity from a previous maximum of 6 TB to just 2 TB.

Personal files and folders remain private. A shared storage quota does not, under any circumstances, mean that all users have access to all data.

For families with low storage usage, little is likely to change in their day-to-day lives.

On the other hand, anyone who has been using several terabytes up to now will, in future, either have to reduce their storage usage, purchase additional storage, or switch to an alternative solution.

All in all, Microsoft offers greater flexibility in terms of storage allocation, but in return this means that many families will have to make significant sacrifices in terms of the storage capacity they previously had.

Sources and further information

• Microsoft Support: Changes to Microsoft 365 storage
• Microsoft Support: Microsoft storage quotas
• Microsoft Support: Frequently Asked Questions about Microsoft Storage
• Swiss IT Magazine: Storage space for personal Microsoft 365 subscriptions to be drastically reduced, 9 October 2026
  
  

As at 12 October 2026