Folders Shared with me are syncing as internet shortcut in OneDrive on Windows PC

You must make sure Microsoft Office is up to date and whatever Windows 10 or 11 is up to date.

You must remove out of the OneDrive the shortcut that was created and the actual folder that you're trying to share rename me in it does not work it's a sign that unique identifier to the folder once the folder has been turned to read only it will never work again as a read write share then follow my instructions then the previous message and it should start working. Only receiving computer if you do not see the folder do not tell the download again just reboot the computer and it should be there.

If this does not work at this point you need to check the version is up to date and the same and windows is up to date and the same if you've been trying this multiple times you will need to clean out your trash can of that folder on both computers in the OneDrive also

yes on family have the same problem on multiple 365 family subscriptions

In my opinion, there is no solution to this. Simply put. You can combine, you can try, which I did myself for a few months, but I gave up. It simply cannot be done.

At the weekend I was already hopeful because something started to process and I thought the files and folders were coming back, but actually the internet shortcut is gone and nothing has improved, and I think it's even worse.

Of course I have written a million times to Microsoft, but each time I get the same reply that they are aware of the problem and are working on a solution and I am to work myself up to the web version for now. Their replies used to be more individual, but now I get the same reply every time, so these **** don't even bother to write back anymore.

I've tried this several times, all using M365 personal (white cloud) and the folders in question are shared with a combination of paid users, users under my family account and free users. Across all this there is a mix combination of who can see the file in Explorer and who is now restricted to online only.

One user who is under my paid family account had this issue from the beginning almost 9 months ago, every possible fix and attempt has been tried with them to no fix. In the past month another paid user who several folders shared with had this happen. Then over the weekend (which seems to be where many have suddenly had issues) the second user under my paid family account had all their folders turned to .url instead. Again tried new folders and fixes and no success.

To note, all the folders I've shared with several different accounts are all private, there is no business M365 in use. They have all lost access at different times over the past 9 months. Also to note every folder is always and has always had full read-write access as it's all team based work where everyone needs access.

The inability to share locally folders between M365 Family and M365 Business is ridiculous but I can understand, but are we saying that if you have the free version of OneDrive you are restricted to online only, no File Explorer ability?

Also on all this and the mention that the issue is fixed, Microsoft still have this officially listed as a bug, so is there communication from Microsoft detailing somewhere more specifically that this whole lengthy process is required.