Microsoft downgrades free OneDrive storage to 5GB, ends unlimited storage for Office 365 customers

Microsoft has announced radical changes to its OneDrive cloud storage service, ending unlimited storage for Office 365 users. Free storage is also being decreased from 15GB to 5GB for all users. The reason for the scaling back of storage comes after Microsoft found that a few customers were using up to 75TB of cloud storage from a single account:

Since we started to roll out unlimited cloud storage to Office 365 consumer subscribers, a small number of users backed up numerous PCs and stored entire movie collections and DVR recordings. In some instances, this exceeded 75 TB per user or 14,000 times the average.

These are the changes prescribed by Microsoft:

• We're no longer planning to offer unlimited storage to Office 365 Home, Personal, or University subscribers. Starting now, those subscriptions will include 1 TB of OneDrive storage.
• 100 GB and 200 GB paid plans are going away as an option for new users and will be replaced with a 50 GB plan for $1.99 per month in early 2016.
• Free OneDrive storage will decrease from 15 GB to 5 GB for all users, current and new. The 15 GB camera roll storage bonus will also be discontinued. These changes will start rolling out in early 2016.

The Redmond giant has mentioned that customers that exceed the new quotas will have access to their files for at least 12 months, following which it will scale back the storage:

• If you are an Office 365 consumer subscriber and have stored in excess of 1 TB, you will be notified of this change and will be able to keep your increased storage for at least 12 months.
• If you are an Office 365 consumer subscriber and find that Office 365 no longer meets your needs, a pro-rated refund will be given. To learn more visit the FAQ.
• If you are using more than 5 GB of free storage, you will continue to have access to all files for at least 12 months after these changes go into effect in early 2016. In addition, you can redeem a free one-year Office 365 - Personal subscription (credit card required), which includes 1 TB of OneDrive storage.
• Current customers of standalone OneDrive storage plans (such as a 100 or 200 GB plans) are not affected by these changes.

Microsoft has additional information regarding the changes here. What do you guys think of the upcoming changes to OneDrive? Will you continue using the service?

Source: OneDrive blog