Microsoft 365 Family and Premium subscriptions now come with a single 2TB cloud storage pool shared by everyone on the plan, instead of a separate allowance for each person. The change applies to new and upgraded subscriptions from 8 October 2026.
People who already pay for a plan keep their current storage until their first renewal on or after 2 May 2027. A plan can have the owner plus five other members, so six people now draw from the same 2TB where each could previously use their own slice.
What happens to existing subscribers
Microsoft says in its storage support page that existing Family and Premium customers will get an email before the switch is applied. The page also says customers in eligible markets may receive transitional bonus storage at renewal, without naming the markets or amounts.
The date can move earlier. Changing plans before the scheduled date, for example from Family to Premium, can put the account on the shared model straight away. Moving down a plan does not trigger it; the account stays on the current model until renewal.
Files stay private, space does not
Sharing the pool does not share files. Each member sees only their own documents unless they share something on purpose. Members can open OneDrive or their Microsoft account page to see how much space they use, and each person gets a breakdown of their own usage but only a combined total for the other members.
Microsoft says access is not cut off the moment a plan nears the 2TB limit. Subscribers get warnings first, and a plan that goes over can keep reading files for up to a year while the owner frees space, buys extra storage or upgrades. Storage add-ons bought by any member go into the shared pool. Microsoft 365 Pro is treated separately, with 5TB shared.
Microsoft has not announced a price cut to go with the smaller allowance. Engadget, which flagged the reduction from up to 6TB per plan to 2TB, quotes the US price as unchanged.
The first affected renewals fall in May 2027, so households that rely on one member storing large photo or video libraries have several months to move files or plan for add-on packs.
