Microsoft Purview: Archive OneDrive and SharePoint files under retention policies

Microsoft Purview now lets admins archive inactive OneDrive and SharePoint files via retention policies to reduce storage costs while maintaining compliance. Archived files move to Microsoft 365 Archive, remain discoverable for eDiscovery, and are excluded from Copilot indexing. This feature requires admin setup and rolls out in mid-September 2026. What and why  Microsoft Purview Data Lifecycle Management now allows admins to archive OneDrive and SharePoint files based on retention policies. This helps organizations reduce storage costs by moving inactive content to Microsoft 365 Archive while maintaining compliance and discoverability. Archived content is excluded from Copilot indexing, which can improve the relevance of Copilot responses by focusing results on current, active data. Rollout schedule  General Availability (GCC, GCC High, DoD): Beginning in mid-September 2026 and expected to complete by late September 2026 Impact on your organization Who is affected Admins managing Microsoft Purview Data Lifecycle Management Organizations using retention policies in SharePoint Online and OneDrive Platforms and services Microsoft Purview (Data Lifecycle Management) SharePoint Online OneDrive Microsoft 365 Archive Microsoft Copilot What will happen A new Archive option will be available within retention policy settings in Data Lifecycle Management. Admins can configure retention policies to move inactive files to Microsoft 365 Archive storage. Archived files remain available for compliance scenarios, including eDiscovery. Archived content will be excluded from Copilot indexing, helping improve answer relevance. This feature is not enabled by default and requires admin configuration. Existing retention policies and compliance configurations remain unchanged unless updated by admins. Action required and recommendations No immediate action is required. To prepare for and take advantage of this feature, we recommend that you: Review your current retention policies in Microsoft Purview Data Lifecycle Management. Evaluate opportunities to reduce storage costs by archiving inactive content. Update retention policies to include the new Archive option where appropriate. Inform compliance and records management stakeholders about this new capability. Review internal documentation and processes related to data lifecycle and storage optimization. Learn more: Configure Microsoft 365 retention settings to automatically retain or delete content | Microsoft Learn Compliance considerations Question Answer Does the change store new customer data, and […]

The post Microsoft Purview: Archive OneDrive and SharePoint files under retention policies appeared first on M365 Admin.