OneDrive for Business: Set the Default Storage Quota

Requirement: Set the default OneDrive for Business storage space.

How to Change OneDrive for Business Default Storage Limit?
The default storage space allocated to users in OneDrive for Business depends on your Microsoft 365 subscription plan. Say for e.g. if you have plans like "Office 365 Enterprise E3", your licensed users will get 1TB as default storage quota (More info on OneDrive plans and storage allowances: OneDrive subscription plans and Storage). You can set the default OneDrive for Business storage space from OneDrive admin center up to 5TB. Here is how to change OneDrive for business storage settings:
  • Login to the OneDrive admin center as a global or SharePoint administrator at https://admin.onedrive.com
  • Click on "Storage" from the left navigation. On the Storage page, you can configure the default quota for all users.
  • In the "Default storage (in GB)", enter the default storage amount. The minimum storage is 1GB and the maximum is 5TB, enter a number between 1 GB and 5120 (again depends on your subscription plan! You can click on the link just below "Default storage is GB" to know your maximum storage quota). set the default onedrive for business storage space
  • When you are done, click Save.
Most subscriptions come with a default 1 TB storage limit and you can change default storage space via the OneDrive admin center as described above. If you decrease the storage limit and a user's site is over the new limit, their OneDrive will become read-only automatically!

Set the default OneDrive for Business Storage Space
Increasing the storage from 1TB to 5TB can be done with either OneDrive Admin center or through PowerShell. To increase Onedrive for business storage using PowerShell, Open SharePoint Online PowerShell module, and run "Set-SPOTenant" PowerShell cmdlet with "OneDriveStorageQuota" parameter by giving the value in megabytes.

E.g. Set-SPOTenant -OneDriveStorageQuota <Size in MB>

Let's increase the default storage size using PowerShell to 5120 GB (5 TB).
#Parameters
$TenantAdminURL = "https://crescent-admin.sharepoint.com"

#Connect to Admin Center
Connect-SPOService -Url $TenantAdminURL -Credential (Get-Credential)

#increase onedrive for business storage to 5TB
Set-SPOTenant -OneDriveStorageQuota 5242880

Please note, This storage space setting applies to all new and existing licensed users for whom you haven't set specific storage limits. It has no impact on existing sites in which you set specific storage quota already. For existing users with specific storage quota set already, you'll have to use PowerShell to change the OneDrive for business storage limit for individual users! Here is how: How to Increase OneDrive for Business Storage Quota per User?

Contact Microsoft support to increase beyond 5 TB - Up to 25 TB
Increasing the storage can be done by your OneDrive administrator up to the maximum of 5TB. but going beyond 5TB, you will need to raise a ticket with Microsoft Support with justification, and then it might get increased up to 25TB quota. If the user's storage is used over 90% Microsoft will increase the default limit to 25 TB - Over 25 TB, additional storage will be provided as 25 TB SharePoint team sites. https://docs.microsoft.com/en-us/microsoft-365/admin/contact-support-for-business-products?view=o365-worldwide&tabs=phone

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