🔔 Change to External File Sharing in SharePoint and OneDrive
Microsoft is changing the way external users access shared files and folders in SharePoint Online and OneDrive.
This affects all organizations that collaborate with external project stakeholders.
Teamsware explains the change clearly and what it means for your projects.
❓ What is this about?
Until now, external users (e.g. planners, subcontractors, or project partners) could access shared files using a one-time passcode sent by email.
In the future, access will be provided via a so‑called guest account. This account is created automatically and is used исключительно for secure access to shared content.
👷♂️ What does this mean for you as someone who shares content?
Very little will change for you in day‑to‑day work:
- ✅ External partners will continue to have access to shared documents
- ✅ Access will be linked to a clearly identifiable user account
- ✅ Collaboration will continue as usual
This change primarily improves the protection of project and company data.
📅 When does this change apply?
- From May 2026: New external shares will automatically use guest accounts
- By the end of August 2026: One‑time passcode access will be fully disabled
📂 What happens to existing shares?
Existing shares will continue to work during a transition period. After the shutdown, it may be necessary to re‑confirm certain shares.
In this case, external partners will automatically receive a new invitation.
🔐 Why is this change useful?
- 🛡️ Higher security for project documents
- 👁️ Clear visibility of who has access
- 📄 Better compliance with data protection and regulatory requirements
🤝 Support from Teamsware
Teamsware supports you in secure external collaboration and ensures that your projects continue to run smoothly with all stakeholders involved.
🛠️ Information for IT Administrators
Microsoft is retiring SharePoint One‑Time Passcode (OTP) authentication and fully replacing it with Microsoft Entra B2B guest accounts.
⚙️ Technical overview
- New external sharing invitations are automatically handled via Entra B2B
- External users receive a guest account (if one does not already exist)
- Existing OTP‑based access will stop working after the retirement
✅ Recommended actions
- Review existing external sharing links
- Define clear rules for guest access
- Inform internal users about the change
This transition improves security and enables modern protection mechanisms such as multi‑factor authentication and policy‑based access control.
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