A family of Microsoft on-premises document management and storage systems.
The SharePoint administrator should check the affected site’s storage limit and the tenant’s SharePoint storage pool, because the 1-TB personal OneDrive allowance does not establish how much storage is available to a SharePoint document library.
Identify whether this is server-side or client-side
Without deleting or moving the .iqy file:
- Open the affected SharePoint library in a browser.
- Try uploading a small test file to the same folder.
- If safe for the workbook workflow, make a minor change to an existing noncritical file and save it.
Interpret the result:
- Upload or save also fails in the browser with a quota/storage message: this is a SharePoint site or tenant storage issue, not local OneDrive cache or disk space.
- Browser operations succeed but desktop sync fails: proceed to Check the IQY file and library restrictions below.
- The library has no Sync button: the site owner should inspect Library settings → More library settings → Advanced settings → Offline Client Availability. Syncing must be permitted for that library.^1^
Have the administrator verify the SharePoint quota
For a SharePoint-hosted folder, the administrator should check all three levels:
- SharePoint admin center → Active sites.
- Check the storage bar in the upper-right corner for the tenant’s total and available SharePoint storage.
- Select the site containing the library.
- On General, inspect Storage limit.
- If storage management is Manual and the site is at its limit, select Edit and increase the limit, assuming tenant storage is available. Alternatively, change SharePoint admin center → Settings → Site storage limits to Automatic.^2^
- Allow for reporting delay: SharePoint storage figures may not include changes made during the last 24–48 hours.^2^
If the tenant pool itself is exhausted, increasing only the site limit will not resolve it. A Microsoft 365 administrator must archive or delete unnecessary content, add eligible storage, or add licenses/storage capacity as appropriate.^3^
If this location is actually the user’s OneDrive for work or school, rather than a SharePoint team site, the admin should instead open:
Microsoft 365 admin center → Users → Active users → affected user → OneDrive
Review Storage used and the configured quota. The effective quota can differ from an expected allowance because of the assigned license or a previously changed quota.^4^
Administrators can also run the SharePoint Tenant Storage, OneDrive storage quota, or library-sync diagnostic from the Microsoft 365 admin center. These diagnostics require an administrator account.^5^
If browser upload works, check the IQY file and sync policy
An .iqy extension is not documented as universally blocked by OneDrive or SharePoint. However, an administrator can configure tenant policy to prevent selected file extensions from uploading through the sync client.
Ask the SharePoint administrator to check:
- SharePoint admin center → Settings → Sync.
- Review Block upload of specific file types for
iqy. - Also check managed-device OneDrive policies for file-upload exclusions.
A SharePoint admin-center file-type block prevents matching files from uploading but does not prevent existing cloud files from downloading. Changes to that setting can take approximately eight hours to reach the sync client.^6^
Also inspect the complete local path and filename. SharePoint sync requires:
- A complete path shorter than 400 characters.
- No unsupported characters such as
" * : < > ? / \ |. - No prohibited file or folder names.^7^
Since resetting, unlinking, cache cleanup, recycle-bin cleanup, and deleting the previously reported test file did not help, repeating those client repairs is unlikely to distinguish this case. Preserve the model-feeding file, test through the browser, and have the administrator review the effective SharePoint site/tenant quota and any IQY upload exclusion.
References
- Fix SharePoint Online sync problems | Microsoft Support
- Manage site storage limits in SharePoint in Microsoft 365
- SharePoint Online out of storage space
- OneDrive site is read-only because storage quota was exceeded
- Self-help diagnostics for SharePoint Online and OneDrive administrators
- Block syncing of specific file types
- Restrictions and limitations in OneDrive and SharePoint