SharePoint File-Level Archiving Is GA: Admin Guide

SharePoint file-level archiving reached general availability in July 2026, and it changed the storage math for every Microsoft 365 tenant. Admins can now move individual files, not just whole sites, into Microsoft 365 Archive’s cold tier. The files stay discoverable, and the archived portion costs a fraction of the standard overage rate. The feature also has sharp edges around quotas, app compatibility and reactivation that will catch any team that turns it on without a plan.

This guide covers what file-level archiving does, how to configure it, and the details in message center post MC1381114 that are easy to miss.

What SharePoint file-level archiving is

Microsoft 365 Archive is the cold storage tier for SharePoint. Until this year it worked only at the site level: you archived an entire site, users lost access, and its data moved to cheaper storage. That suited retired projects. However, it did nothing for the far more common problem of stale files inside active libraries.

File-level archiving closes that gap. Users with the right permissions can archive individual documents from any supported site. Archived files stay visible in search, eDiscovery and Purview content search. So they remain available for compliance and reference while their bytes move to a cheaper tier.

Microsoft announced general availability in MC1381114. Rollout started in early July 2026 and completed worldwide, including GCC, by late July. For tenants that already have Microsoft 365 Archive enabled, the feature is on by default.

Why it matters

Most SharePoint libraries carry a long tail of old files that nobody edits but nobody wants to delete. Compliance needs them retrievable, owners fear losing them, and storage bills keep growing. Before file-level archiving, the options were to archive whole sites (breaking access), pay overage on stale content, or move the tail to a separate archive tool. Each added cost or complexity.

There is a Copilot benefit too. Copilot doesn’t use archived content, so cold-tiering unused files removes outdated material from what Copilot retrieves and can improve answer quality. In that sense, file-level archiving is as much a Copilot governance tool as a cost tool.

The storage math: $0.05 vs. $0.20 per GB

Archived files cost $0.05 per GB per month, against the standard SharePoint storage overage rate of $0.20 per GB per month. That is a 75% reduction on the archived portion. For a tenant 5 TB over quota with 3 TB eligible for archive:

• Without archiving: 5,000 GB × $0.20 = $1,000 per month in overage.
• With 3 TB archived: (2,000 GB × $0.20) + (3,000 GB × $0.05) = $400 + $150 = $550 per month.
• Annual savings: about $5,400.

Across large tenants that easily justifies a formal archiving program, but only if the archived files really reduce hot-tier consumption. That leads to the biggest catch.

The storage quota catch

Archived files still count toward site storage quotas. Microsoft’s documentation is explicit: “File-level archive doesn’t change site storage usage or quota behavior.”

So if a site is near its quota, archiving files inside it won’t free room for new uploads. The billing tier changes; the quota accounting doesn’t. That differs from site-level archiving, where the whole site leaves the tenant’s active pool. In short, file-level archiving is a billing optimization, not capacity relief. If you are out of SharePoint storage, you still need to archive whole sites, move content, or buy more storage.

Configuring SharePoint file-level archiving

Three prerequisites must be in place. First, Microsoft 365 Archive must be enabled for the tenant. Second, pay-as-you-go billing must be configured in the Microsoft 365 admin center; this meters the $0.05/GB rate. Third, you need a linked Azure subscription for those charges.

Once they are in place the feature is on by default. To scope it during a pilot, use the SharePoint Online Management Shell:

# Disable file-level archive across the whole tenant
Set-SPOTenant -AllowFileArchive $false

# Or scope it per site (once per-site control is available)
Set-SPOSite -Identity https://contoso.sharepoint.com/sites/finance -AllowFileArchive $true

Only SharePoint Administrators or Global Administrators can manage archive settings. Use SharePoint Administrator where possible, in line with least privilege.

Permissions and governance

The permission model is fixed and can’t be reconfigured:

• Edit or Contribute: can archive a file.
• Read: can reactivate an archived file.
• SharePoint or Global Administrator: can turn the feature on or off.

Read-to-reactivate is deliberate. Anyone who could open the file before can bring it back, so files don’t get stranded when the person who archived them leaves. It also means end users can archive files themselves. Therefore, involve records management and the help desk before enabling it broadly. Users need guidance on when to archive versus delete, and the help desk needs a reactivation runbook for “I archived it by mistake” tickets.

Reactivation times, fees and the 120-day lock

Files archived within the past seven days reactivate instantly; older files can take up to 24 hours. There is no per-reactivation fee, as Microsoft removed those fees in March 2025.

The trap is the re-archive lock: once reactivated, a file can’t be archived again for 120 days. Some earlier coverage cited 30 days, but Microsoft’s documentation now says 120. Treat reactivation as a considered action, not a casual undo.

What isn’t supported yet

• Word and PowerPoint on the web may fail to open archived files cleanly.
• Teams, OneDrive and SharePoint mobile apps can show incorrect error messages for archived content.
• The macOS OneDrive sync client isn’t fully archive-aware.
• Windows 10 and older OneDrive sync builds also lag.
• Office desktop apps not updated since March 1, 2026 may misbehave.
• Clipchamp and Power BI can’t import archived content.
• OneNote notebooks, SharePoint pages, SharePoint agents and the Site Assets library can’t be archived at all.

If you have many Mac users or slow Office update rings, communicate the feature and the reactivation flow before archiving anything people might still open.

A six-step rollout plan

1. Confirm pay-as-you-go billing. Check the Azure subscription is linked and pay-as-you-go is on for SharePoint.
2. Baseline your storage. Use SharePoint admin reports and usage analytics to find sites with the largest cold tails; files unmodified for 12+ months are prime candidates.
3. Disable tenant-wide, then enable per site. Run Set-SPOTenant -AllowFileArchive $false, then enable a small pilot site with a cooperative owner.
4. Publish a user guide covering how to archive and reactivate, unsupported apps, and the 120-day lock.
5. Update help desk runbooks so “my file is missing” checks archive state before it’s treated as data loss.
6. Measure and expand. After 30 days, compare archive charges with the site’s previous overage. If it saves money, expand to the next wave.

Bottom line

For years, stale files have either burned overage money or triggered risky bulk-delete projects. SharePoint file-level archiving gives admins a reversible, cheap, compliance-friendly middle path. Its catches (unchanged quota accounting, uneven app support, the 120-day lock) don’t rule it out. Instead, they shape how you pilot and communicate it.

Related: Copilot watermarks, Restricted Content Discovery and the SharePoint Server end of support guide.

Last reviewed: October 2026

Sources

• Overview of Microsoft 365 Archive (Microsoft Learn)
• Manage Microsoft 365 Archive (Microsoft Learn)
• Microsoft 365 Archive FAQ (Microsoft Learn)
• MC1381114: Microsoft 365 Archive file-level archiving general availability
• 4sysops: Microsoft 365 Archive file-level archiving deep dive
• Microsoft Tech Community: Microsoft 365 Archive eliminates reactivation fees