Microsoft 365 Family Plan Drops to Shared 2TB Storage
Microsoft has updated its 365 Family subscription model, replacing the previous individual storage allocation with a shared 2TB limit.
Radwan AbdulhadiEditor and technology writer
Storage Allocation Changes for Subscribers
Microsoft has announced an important update that alters how cloud storage is allocated for subscribers of its popular cloud-based subscription service. According to details shared by Engadget, a Family subscription now provides a shared storage space of 2TB spread across all plan members. Prior to October 8, the plan allocated 1TB per member, allowing for a total of up to 6TB depending on the number of accounts linked to the plan. This represents a sizeable reduction in available cloud capacity.
Because the new 2TB allowance is shared collectively across all members, subscribers will be able to see exactly who is consuming the available storage space. Microsoft 365 grants users access to a suite of productivity applications, including Word, Excel, PowerPoint, OneNote, and OneDrive. Because the ecosystem is entirely cloud-based, every file created through these apps is saved directly onto the company's cloud infrastructure, making the overall storage allotment crucial for everyday users.
Pricing Remains Unchanged Despite Reduction
Despite slashing the total maximum storage capacity from 6TB down to a shared 2TB limit, Microsoft is not reducing the subscription price. The 365 Family plan will continue to cost subscribers $13 a month or $130 a year. Each Family plan supports up to six members, though advanced AI and Copilot features remain restricted exclusively to the primary subscription owner.
The storage adjustments also impact Microsoft 365 Premium subscriptions. Premium tiers include everything found in the standard Family plan alongside additional advanced AI features, which similarly remain accessible only to the plan administrator. For more information regarding broader industry developments related to these tools, readers can check coverage on Big Tech.
Transition Timeline for Existing Subscribers
For existing subscribers who signed up for a 365 Family plan before October 8, the transition to the new shared storage model will occur the first time the subscription is renewed on or after May 2, 2027. However, account holders who choose to switch plans prior to their scheduled transition date may find the new storage model applied immediately.
For instance, users who upgrade to a Premium plan may experience an earlier transition to the shared storage limits. Conversely, those downgrading from Premium to a standard Family subscription will maintain their current storage model until the plan officially renews on or after May 2. Microsoft has stated that it will issue notifications containing further details before these changes take effect on individual accounts.
Options for Expanding Cloud Storage
Subscribers who require more capacity than what the updated base configuration offers will need to purchase additional storage independently. Microsoft allows users to add up to 10TB of extra space to their accounts by purchasing standalone storage packs. These expansion packs are available in 100GB, 500GB, 1TB, or 6TB sizes.
Plan owners maintain the authority to assign these additional storage packs to individual members depending on specific needs or billing arrangements. Additional reporting on these changes and related office software alternatives can be followed via insights on Microsoft or through updates highlighted by writers like Mariella Moon on Google Discover.
Sources
- EngadgetThis Microsoft 365 Family plan cloud storage change may leave you frustrated
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