Microsoft Reduces OneDrive Storage for Office 365 and Free Users, Eliminates Unlimited Option

Microsoft tonight announced that it was making changes to its OneDrive cloud storage services, reducing the amount of storage both Office 365 and free users are granted and eliminating its unlimited option. The company says that the changes were needed to "ensure that we can continue to deliver a collaborative, connected and intelligent service."

onedrive

Since we started to roll out unlimited cloud storage to Office 365 consumer subscribers, a small number of users backed up numerous PCs and stored entire movie collections and DVR recordings. In some instances, this exceeded 75 TB per user or 14,000 times the average. Instead of focusing on extreme backup scenarios, we want to remain focused on delivering high-value productivity and collaboration experiences that benefit the majority of OneDrive users.

Office 365 Home, Personal and University subscribers will no longer have access to unlimited storage. Instead, these users will be limited to 1 TB of storage. The 100 GB and 200 GB plans are being eliminated for new users and will be replaced with a 50 GB plan for $1.99 a month, which will launch in early 2016. Free OneDrive users will see their storage decreased from 15 GB to 5 GB, with the 15 GB camera roll storage bonus also being eliminated. These changes will also roll out in early 2016.

Microsoft says it wants to make the transition for its users as easy as possible, outlining the steps its taking to notify users of the change. Office 365 subscribers that have more than 1 TB of storage will be notified and will be allowed to keep their increased storage for 12 months. Office 365 customers who no longer desire the service because of the change will be given a pro-rated refund. Free users who have used more than 5 GB of storage will have access to all their files for 12 months after the changes go into effect in early 2016 and will receive a free one-year subscription to Office 365. Individual OneDrive subscribers to the 100 GB and 200 GB plans will not be affected.

In June 2014, Microsoft boosted its storage plans for OneDrive, bumping Office 365 subscribers from 20 GB to 1 TB before adding unlimited storage in October 2014. The company also increased storage of its free service from 7 GB to 15 GB while also decreasing prices for the 100 GB and 200 GB plans.

At its "Hey Siri" event this year, Apple announced price reductions for its own cloud storage service, iCloud Drive. 5 GB of iCloud storage is free while 50 GB is priced at 99 cents per month, 200 GB is $2.99 per month and 1 TB is $9.99 per month.

Popular Stories

apple intelligence black

Report: Apple's AI Strategy Could Finally Pay Off in 2026

Tuesday December 30, 2025 9:01 am PST by
Apple's restrained artificial intelligence strategy may pay off in 2026 amid the arrival of a revamped Siri and concerns around the AI market "bubble" bursting, The Information argues. The speculative report notes that Apple has taken a restrained approach with AI innovations compared with peers such as OpenAI, Google, and Meta, which are investing hundreds of billions of dollars in data...
apple fitness 2026 1

Apple Teases 'Something Big' Coming Soon to Apple Fitness+

Tuesday December 30, 2025 2:11 pm PST by
The Apple Fitness+ Instagram account today teased that the service has "big plans" for 2026. In a video, several Apple Fitness+ trainers are shown holding up newspapers with headlines related to Apple Fitness+. What's Apple Fitness+ Planning for the New Year? Something Big is Coming to Apple Fitness+ The Countdown Begins. Apple Fitness+ 2026 is Almost Here 2026 Plans Still Under ...
maxresdefault

Hands-On With a Rough iPhone Fold Mockup

Monday December 29, 2025 10:55 am PST by
Apple is rumored to be introducing a foldable iPhone in September 2026, and since it will bring the biggest form factor change since the iPhone was introduced in 2007, curiosity about the design is high. A 3D designer created an iPhone Fold design based on rumors, and we printed it out to see how it compares to Apple's current iPhones. Subscribe to the MacRumors YouTube channel for more ...
maxresdefault

Where's the New Apple TV?

Monday December 22, 2025 11:30 am PST by
Apple hasn't updated the Apple TV 4K since 2022, and 2025 was supposed to be the year that we got a refresh. There were rumors suggesting Apple would release the new Apple TV before the end of 2025, but it looks like that's not going to happen now. Subscribe to the MacRumors YouTube channel for more videos. Bloomberg's Mark Gurman said several times across 2024 and 2025 that Apple would...
iphone 17 pro dark blue 1

iPhone 17 Pro and Pro Max Users Report Static Speaker Noise While Charging

Tuesday December 30, 2025 10:39 am PST by
iPhone 17 Pro and Pro Max owners are having trouble with the speakers of their devices, and have complained about a static or hissing noise that occurs when the iPhone is charging. There are multiple discussions about the issue on Reddit, the MacRumors forums, and Apple's Support Community, where affected users say there is a noticeable static noise "like an old radio." Some people report...
iPhone Top Left Hole Punch Face ID Feature Purple

iPhone 18 Pro Launching Next Year With These 12 New Features

Tuesday December 23, 2025 8:36 am PST by
While the iPhone 18 Pro and iPhone 18 Pro Max are not expected to launch for another nine months, there are already plenty of rumors about the devices. Below, we have recapped 12 features rumored for the iPhone 18 Pro models. The same overall design is expected, with 6.3-inch and 6.9-inch display sizes, and a "plateau" housing three rear cameras Under-screen Face ID Front camera in...
Mac Pro Feature Blue

What's Happening With the Mac Pro?

Wednesday December 31, 2025 9:59 am PST by
Apple hasn't updated the Mac Pro since 2023, and according to recent rumors, there's no update coming in the near future. In fact, Apple might be finished with the Mac Pro. Bloomberg recently said that the Mac Pro is "on the back burner" and has been "largely written off" by Apple. Apple apparently views the more compact Mac Studio as the ideal high-end pro-level desktop, and it has almost...
macbook air march 2020

Apple Says Final Intel MacBook Air and Apple Watch Series 5 Now 'Vintage'

Wednesday December 31, 2025 8:39 am PST by
Apple today added the final 13-inch MacBook Air powered by Intel processors, the Apple Watch Series 5, and additional products to its vintage products list. The iPhone 11 Pro was also added to the list after the iPhone 11 Pro Max was added back in September. The full list of products added to Apple's vintage and obsolete list today: MacBook Air (Retina, 13-inch, 2020) iPhone 8 Plus 128GB ...

Top Rated Comments

farewelwilliams Avatar
133 months ago
" a small number of users backed up numerous PCs and stored entire movie collections and DVR recordings"

so you snoop on our files? no thanks.
Score: 80 Votes (Like | Disagree)
sputnikv Avatar
133 months ago
OneDrive was never unlimited as there were rather large limitations on the individual file sizes one could have. That said, I'm cancelling my subscription. There's no reason to invest in a cloud storage where the managers are ok with limiting capacities when convenient. It makes no sense as a customer, why invest?
Score: 42 Votes (Like | Disagree)
Megakazbek Avatar
133 months ago
So please explain me once again why you are entitled to free 75TB of storage at Microsoft's expense.
Because it was THEIR offer of UNLIMITED storage?
Score: 42 Votes (Like | Disagree)
sputnikv Avatar
133 months ago
So please explain me once again why you are entitled to free 75TB of storage at Microsoft's expense.
Because Microsoft sold it as being "Unlimited"
Score: 39 Votes (Like | Disagree)
SteveJobs2.0 Avatar
133 months ago
" a small number of users backed up numerous PCs and stored entire movie collections and DVR recordings"

so you snoop on our files? no thanks.
If people didn't abuse these services there would be no need for companies to go in and see what the hell was taking so much space.
Score: 38 Votes (Like | Disagree)
fogandflower Avatar
133 months ago
If people didn't abuse these services there would be no need for companies to go in and see what the hell was taking so much space.
It is not "abuse" since Microsoft promised unlimited storage. Microsoft, care to define "unlimited"?
Score: 35 Votes (Like | Disagree)