New Microsoft 365 data residency control

[What and why:]

This is an informational update to let you know about a new Microsoft 365 data residency control.

To help maintain a high-performing service in the EU/EFTA, Microsoft is introducing a new setting: Store Microsoft 365 customer data in-country. This setting gives organizations control over whether Microsoft 365 customer data is stored in-country or regionally within the EU Data Boundary.

The setting is enabled by default for your tenant, so no action is required to keep your Microsoft 365 customer data stored in-country. You can review or change this setting at any time in the Microsoft 365 admin center.

Your customer data remains within the EU Data Boundary whether the setting is enabled or disabled, and your privacy, security, compliance, and encryption commitments are unchanged.

[Rollout schedule:]

1. September 14, 2026: The setting becomes visible and actionable in the Microsoft 365 admin center.
2. December 14, 2026: Your selection becomes effective. If you make no change, your Microsoft 365 customer data continues to be stored in-country.

[Impact on your organization:]

Who is affected

1. Admins managing Microsoft 365 tenants in France, Germany, Norway, Sweden, or Switzerland.

Services affected

1. Exchange Online, SharePoint, OneDrive, Microsoft Teams, Microsoft Copilot, Microsoft Copilot Chat.

What will happen

1. The setting is enabled for your tenant, which means your Microsoft 365 customer data continues to be stored in-country. There is no change to where your customer data is stored.
2. Disabling the setting would allow Microsoft to store your Microsoft 365 customer data regionally within the EU Data Boundary rather than only in-country.
3. You can change your selection at any time, both during the 90-day notice period and after December 14.

[Action required / recommendations:]

No action is required to keep your Microsoft 365 customer data stored in-country.

If you would like to review or change this setting:

1. Sign in to the Microsoft 365 admin center
2. Go to Settings > Org settings > Organization profile > Data location > Commitments
3. Confirm that your current setting aligns with your organization's needs

Learn more

1. Data residency setting – Microsoft Learn
2. Microsoft Product Terms
3. EU Data Boundary