A Microsoft file hosting and synchronization service.
Because sharing stopped for everyone at approximately the same time, a Microsoft 365 administrator should first check tenant Service health for OneDrive for Business and SharePoint Online before changing sharing policies.
1. Check for a tenant-wide incident
If you are not an administrator, send these steps to your Microsoft 365 or SharePoint administrator:
- Sign in to the Microsoft 365 admin center.
- Go to Health → Service health.
- Review active incidents and advisories for:
- OneDrive for Business
- SharePoint Online
- Open Issue history and check the period when sharing stopped.
- If no matching issue appears, select Report an issue and describe that sharing fails for all office users.
Service health contains tenant-specific incidents, advisories, and up to 30 days of issue history.^1^
2. Identify what type of sharing fails
Before changing any policy, record the exact error message and run this test:
- Sign in to OneDrive on the web.
- Select an ordinary file and choose Share.
- Test sharing with:
- An internal coworker.
- An external recipient, but only if external sharing is permitted by company policy.
- Note whether Share is missing, disabled, or produces an error.
The result determines the next action:
- Internal and external sharing both fail on the web: Do not loosen external-sharing policies. Prioritize Service health and Microsoft support.
- Only external recipients fail: Check the external-sharing controls below.
- Web sharing works but File Explorer sharing fails: Skip to the desktop-client section.
3. If only external sharing fails
A Global or SharePoint administrator should check both the organization-wide and user-level controls:
- In the Microsoft 365 admin center, select Show all → Admin centers → SharePoint.
- Go to Policies → Sharing.
- Under External sharing, review the levels configured for SharePoint and OneDrive.
- Select only the level approved by your organization:
- New and existing guests, or
- Anyone.
- In the Microsoft 365 admin center, go to Users → Active users.
- Select an affected user → OneDrive → Manage external sharing.
- Verify that external access is enabled and that the permitted guest-link type matches organizational policy.
- Save, allow time for the change to propagate, and retest from OneDrive on the web.^2^
Do not select a more permissive level solely to troubleshoot; external-sharing changes can expose files beyond the organization.
If sharing choices remain greyed out
If Anyone and People in Microsoft remain unavailable after the applicable organization and OneDrive settings are confirmed, check whether Limited-access user permission lockdown mode is active:
- Open the affected site.
- Go to Site administration → Site settings → Site collection features.
- Locate Limited-access user permission lockdown mode.
Deactivating this feature can broaden access and alter the site's security posture. Before changing it, document its current state, confirm why it was enabled, obtain organizational approval, and test on a limited scope. With the appropriate site-administration permissions, deactivate it and retest sharing.^2^
4. If web sharing works but Windows File Explorer does not
This points to the Windows client or context-menu path rather than the tenant sharing service:
- Check for the OneDrive cloud icon in the Windows notification area.
- If it is absent, open Start, launch OneDrive, and sign in.
- Right-click a file inside the synchronized OneDrive folder and check for Share.
- If Share is missing or greyed out for everyone but web sharing works, ask the administrator to review organizational restrictions affecting OneDrive context menus.
File Explorer sharing requires the OneDrive desktop application to be installed and running; files can still be shared through OneDrive on the web when the desktop application is unavailable.^3^
Escalation information
If no service incident or relevant policy restriction is found, open a Microsoft 365 support request and include:
- The exact error text or screenshot.
- Whether internal sharing, external sharing, or both fail.
- Whether the failure occurs on the web, in File Explorer, or both.
- When it began and whether every user is affected.
- One affected user and file example, without posting private identifiers publicly.
- Results of the Service health and sharing-policy checks.
References