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 View image in new tab 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 […]

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