check before: 2025-08-01
Product:
Entra, Microsoft 365 Apps, OneDrive, Purview, Purview Communication Compliance, Purview Data Loss Prevention, Purview Information Protection, SharePoint, Windows
Platform:
Android, iOS, Mac, Online, US Instances, Web, World tenant
Status:
Change type:
New feature, Updated message
Links:
Details:
Summary:
Starting late August 2025, IT admins can restrict new Word, Excel, and PowerPoint files to be created only in Cloud Locations via a Group Policy. This enhances security and compliance by ensuring files are saved in OneDrive, SharePoint, or third-party Clouds, with rollout completing by December 2025.
Details:
Updated December 8, 2025: We have updated the timeline due to a pending release for the Monthly Enterprise Channel. Thank you for your patience.
Introduction
IT Administrators will be able to set up Word, Excel, and PowerPoint Windows applications to limit the creation of new files to only Cloud Locations (OneDrive, SharePoint, or third-party Clouds).
This configuration is called enablecloudonlysaveasmode is available only to IT Administrators and deployed using Group Policies. This policy is available now in the Administrative Template files for Microsoft Office (version 5516.1000 or newer).
For the policy to apply, users should be using a Windows version of Word, Excel and PowerPoints Version 2506 (Build 19029.20000) or newer.
This new Policy is part of a new set of tools for IT Administrators to move their organizations towards higher Cloud usage and Increase security and compliance: Files in the Cloud are automatically protected by your company's security rules and labeling, so you don't have to take extra steps to keep them safe and compliant.
This policy setting controls whether Word, Excel, and PowerPoint users can use non-Cloud locations (local and network) to create new files. If you enable this policy setting, users will only have Cloud Locations available to perform Save As and Save new files. If you disable or don't configure this policy setting, users can use any location (Cloud, Local, and Network) to perform Save As and Save new files. Note: This policy setting only applies to subscription versions of Office, such as Microsoft 365 Apps for Enterprise.
When this will happen
Public Preview: We will begin rolling out late August 2025 and expect to complete by mid-September 2025.
General Availability (Worldwide, GCC, GCC High, and DoD): We will begin rolling out mid-September 2025 and is now expected to complete by end of December 2025 (previously late September).
Change Category:
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Scope:
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Release Phase:
Created:
2025-08-19
updated:
2025-12-09
Task Type
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Docu to Check
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MS How does it affect me
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MS Preperations
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Pictures
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summary for non-techies**
Starting in late August 2025, IT administrators can enforce a policy called "enablecloudonlysaveasmode" to ensure new Word, Excel, and PowerPoint files are saved only in Cloud Locations like OneDrive or SharePoint, using Group Policies on Windows versions of these applications.
Direct effects for Operations**
File Creation Restrictions
Users will be unable to create new files in local or network locations, limiting their ability to work offline or in environments without internet access.
- roles: End Users, IT Administrators
- references: https://learn.microsoft.com/entra/identity/domain-services/manage-group-policy, https://learn.microsoft.com/microsoft-365-apps/admin-center/overview-cloud-policy
User Experience
Users accustomed to saving files locally may experience frustration and confusion due to the sudden unavailability of local save options, impacting productivity.
- roles: End Users, Support Staff
- references: https://learn.microsoft.com/sharepoint/redirect-known-folders, https://www.microsoft.com/download/details.aspx?id=49030
Collaboration and Access
While collaboration may improve, users who rely on local files for individual work may find it challenging to adapt, potentially leading to resistance against the change.
- roles: End Users, Team Leaders
- references: https://config.office.com/officeSettings/officePolicies, https://learn.microsoft.com/windows-server/identity/ad-ds/manage/group-policy/group-policy-overview
Configutation Options**
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Opportunities**
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Potentional Risks**
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Data Protection**
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IT Security**
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Hypothetical Work Council Statement**
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DPIA Draft**
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explanation for non-techies**
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** AI generated content. This information must be reviewed before use.
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change history
| Date | Property | old | new |
| 2025-12-09 | MC MessageTagNames | New feature | Updated message, New feature |
| 2025-12-09 | MC Summary | IT Administrators can restrict new file creation in Word, Excel, and PowerPoint on Windows to Cloud Locations only, enhancing security and compliance. This policy, deployable via Group Policy from August 2025, limits saving new files to OneDrive, SharePoint, or third-party Clouds, promoting cloud usage and protection. | Starting late August 2025, IT admins can restrict new Word, Excel, and PowerPoint files to be created only in Cloud Locations via a Group Policy. This enhances security and compliance by ensuring files are saved in OneDrive, SharePoint, or third-party Clouds, with rollout completing by December 2025. |
| 2025-12-09 | MC Last Updated | 08/19/2025 00:56:04 | 2025-12-08T18:28:50Z |
| 2025-12-09 | MC Messages | Introduction
IT Administrators will be able to set up Word, Excel, and PowerPoint Windows applications to limit the creation of new files to only Cloud Locations (OneDrive, SharePoint, or third-party Clouds). This configuration is called enablecloudonlysaveasmode is available only to IT Administrators and deployed using Group Policies. This policy is available now in the Administrative Template files for Microsoft Office (version 5516.1000 or newer). For the policy to apply, users should be using a Windows version of Word, Excel and PowerPoints Version 2506 (Build 19029.20000) or newer. This new Policy is part of a new set of tools for IT Administrators to move their organizations towards higher Cloud usage and Increase security and compliance: Files in the Cloud are automatically protected by your company's security rules and labeling, so you don't have to take extra steps to keep them safe and compliant. This policy setting controls whether Word, Excel, and PowerPoint users can use non-Cloud locations (local and network) to create new files. If you enable this policy setting, users will only have Cloud Locations available to perform Save As and Save new files. If you disable or don't configure this policy setting, users can use any location (Cloud, Local, and Network) to perform Save As and Save new files. Note: This policy setting only applies to subscription versions of Office, such as Microsoft 365 Apps for Enterprise. When this will happen Public Preview: We will begin rolling out late August 2025 and expect to complete by mid-September 2025. General Availability (Worldwide, GCC, GCC High, and DoD): We will begin rolling out mid-September 2025 and expect to complete by late September 2025. | Updated December 8, 2025: We have updated the timeline due to a pending release for the Monthly Enterprise Channel. Thank you for your patience.
Introduction IT Administrators will be able to set up Word, Excel, and PowerPoint Windows applications to limit the creation of new files to only Cloud Locations (OneDrive, SharePoint, or third-party Clouds). This configuration is called enablecloudonlysaveasmode is available only to IT Administrators and deployed using Group Policies. This policy is available now in the Administrative Template files for Microsoft Office (version 5516.1000 or newer). For the policy to apply, users should be using a Windows version of Word, Excel and PowerPoints Version 2506 (Build 19029.20000) or newer. This new Policy is part of a new set of tools for IT Administrators to move their organizations towards higher Cloud usage and Increase security and compliance: Files in the Cloud are automatically protected by your company's security rules and labeling, so you don't have to take extra steps to keep them safe and compliant. This policy setting controls whether Word, Excel, and PowerPoint users can use non-Cloud locations (local and network) to create new files. If you enable this policy setting, users will only have Cloud Locations available to perform Save As and Save new files. If you disable or don't configure this policy setting, users can use any location (Cloud, Local, and Network) to perform Save As and Save new files. Note: This policy setting only applies to subscription versions of Office, such as Microsoft 365 Apps for Enterprise. When this will happen Public Preview: We will begin rolling out late August 2025 and expect to complete by mid-September 2025. General Availability (Worldwide, GCC, GCC High, and DoD): We will begin rolling out mid-September 2025 and is now expected to complete by end of December 2025 (previously late September). |
| 2025-12-09 | MC Title | Restrict new file creation in Office desktop apps to Cloud Locations | (Updated) Restrict new file creation in Office desktop apps to Cloud Locations |
| 2025-12-09 | MC End Time | 10/30/2025 08:00:00 | 2026-01-31T08:00:00Z |
Last updated 3 weeks ago ago
