Set a custom name for the OneDrive sync folder
IT admins can set a custom local OneDrive sync folder name on Windows to reduce path length issues, starting mid-March 2026. New users see the custom name automatically; existing users must unlink and relink OneDrive. The feature is opt-in and requires admin configuration.

To help reduce Windows file path length issues and improve the local file system experience, IT admins can now set a custom name for the local OneDrive sync root folder on users’ Windows devices using the policy Set a custom name for the OneDrive sync folder with the String ID CustomSyncRootFolderName. Today, the default folder name (“OneDrive – (organization name)”) can contribute to path length constraints in deeply nested folder structures. This new policy allows organizations to define a shorter, organization-specific folder name while keeping the OneDrive experience consistent for users.
Screenshot: Configure group policy by opening the relevant group policy in the Local Group Policy Editor application

When this will happen:
General Availability (Worldwide, GCC, GCC High, DoD): We will begin rolling out in mid-March 2026 and expect to complete by early April 2026.
How this affects your organization:
Who is affected:
- Microsoft 365 tenants using OneDrive sync on Windows devices
- Admins managing OneDrive sync policies
- Users setting up OneDrive sync on Windows and existing users who use OneDrive sync on Windows
What will happen:
- Admins can configure a custom local OneDrive sync root folder name using the new policy.
- New users will automatically see the custom folder name when they set up OneDrive sync.
- Existing users must unlink and relink their OneDrive account for the new folder name to take effect. Learn more: Unlink and re-link OneDrive | Microsoft Support.
- We recommend that existing users delete the original OneDrive folder after relinking to avoid confusion.
- The display name shown in File Explorer’s navigation pane and the OneDrive Activity Center remains unchanged (for example, “OneDrive – (organization name)”).
- This feature is opt-in and requires admin configuration; it is not enabled by default.
What you can do to prepare:
- Determine whether a shorter OneDrive sync folder name would benefit your organization.
- Select a custom folder name that meets the following requirements:
- Must contain at least one character.
- Cannot be named “OneDrive.”
- The full folder path must not exceed 120 characters.
- Standard Windows folder naming rules apply.
- Plan communications for existing users who will need to unlink and relink OneDrive sync.
- Update internal documentation and helpdesk guidance as needed.
Learn more: IT Admins – Use OneDrive policies to control sync settings – SharePoint in Microsoft 365 | Microsoft Learn
Compliance considerations:
| Question | Explanation |
|---|---|
| Does the change include an admin control? | This change introduces a new admin policy that allows administrators to configure the local OneDrive sync root folder name on Windows devices. |
Message ID: MC1242782

HANDS ON tek
M365 Admin


