Retirement of Standalone SharePoint Online and OneDrive for Business Plans
Date: January 28, 2026 Workspace: General
Impacted audience: CSP-authorized partners, and partners selling to customers using SharePoint Online (Plan 1 & Plan 2) & OneDrive for Business (Plan 1 & Plan 2)
What’s changing
Microsoft is retiring the standalone SharePoint Online and OneDrive for Business plans (Plan 1 and Plan 2). Going forward, Microsoft 365 suites will remain the primary way customers access SharePoint and OneDrive capabilities.
This decision reflects:
- Low customer demand for standalone plans
- Increased unintended or non-standard usage
- Higher operational costs to maintain these SKUs
Microsoft will continue investing in secure, scalable, and integrated storage and collaboration experiences through Microsoft 365, alongside expanded storage options.
Why this matters to partners
As a Microsoft partner, you play a critical role in helping customers prepare for this transition. Customers have a long runway to plan, and Microsoft is introducing additional storage options to support different business needs.
Proactive engagement will help ensure:
- Continuity of service
- A smooth customer experience
- The right long-term licensing and storage strategy
Key dates and milestones
Retirement announcement: Late January 2026
End of sale: June 2026
- No new tenants or customers after May 31, 2026
- Renewals allowed for existing customers only
End of life: January 2027
- No renewals; existing contracts run until expiration
End of service: December 2029
- All standalone plans fully retired
- Customers must transition to Microsoft 365 suites, capacity packs, or pay-as-you-go storage
What you should do next
To support your planning, Cloud Ascent will be updated by the end of February, giving you clear visibility into which customers are affected.
Microsoft will continue to share guidance, tools, and updates to help partners navigate this transition and drive long-term customer success.
For more information, contact us today
