Microsoft Purview compliance portal: Information Protection – Secure collaboration on labeled and encrypted documents with user-defined permissions (U.S. government clouds)
SharePoint and OneDrive can process labeled documents that are encrypted with custom permissions, also referred to as user-defined permissions. As a result, these documents can be searched, inspected for data loss prevention, and used with eDiscovery. They can also be opened, edited, seamlessly co-authored, and support AutoSave in Word, Excel, and PowerPoint apps on all platforms (includes Office for the web).


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