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

Microsoft has done it again, breaking a perfectly good system and leaving users to pick up the pieces.

They decided to merge personal OneDrive with OneDrive for Business under SharePoint, just like they did when they jammed Skype and Skype for Business together. Anyone who was happily working with shared folders on their desktop is suddenly stuck with web links, and it’s not some random glitch—it’s Microsoft’s grand plan to “modernize” the platform while ignoring the real needs of their customers.

This is typical Microsoft: they roll out changes to serve their vision, then expect us to adapt—even if it torpedoes our workflows. The old OneDrive setup worked just fine for years, and without warning, our shared folders vanished from local drives and got replaced by online-only links. Thanks, Microsoft!

They’ve got three half-baked fixes on the table:

1. Completely Move Everyone to SharePoint: This gigantic transition would require massive updates to your computer and their servers. It’s not going to happen overnight, and in the meantime, we’re left hanging.
2. Make SharePoint Work with the Old OneDrive: They could have the SharePoint team support legacy OneDrive features, but that goes against their ultimate goal: kill off old OneDrive and force everyone onto SharePoint whether they like it or not.
3. Rewrite OneDrive to Use the Microsoft Graph API: This sounds great—an interface that “magically” handles both OneDrive and SharePoint. But Microsoft hasn’t bothered to add critical features (like change notifications and live photo support), so it’s basically useless at the moment.

None of these paths give users a quick solution. Microsoft seems more concerned with forcing these merges than making sure customers aren’t inconvenienced. If you’re stuck with those lame web links, you’re probably going to have to deal with it for a while. It’s not a glitch, it’s the future according to Microsoft—whether we like it or not.

This is the reason why there is no official statement, no bug report, no news of any kind from Microsoft.

Folks, this problem will not be fixed for months, maybe years! Look for alternatives and don't waste time waiting!

Facing the same issue since last week. Tried unlinking and relinking account, but still getting internet shortcut link for the main data folder and file folder for others.

Microsoft... PLEASE HELP.

Like so many others, this is now becoming a serious problem and is undermining the very core of what Office 365 and OneDrive are all about.

Please prioritise this accordingly!

OneDrive is a wonderful tool and the storage provided via the 365 family sharing functionality is amazing... but this ongoing issue really does need to fixed as it makes it almost unusable... especially as you're hiking the price in the coming months.

Kind regards, Marco.

This morning I unlinked and relinked two computers and I noticed something.....The shared folders that were from the same MS Family Group as the account being synced came back as normal. The ones that were shared from a different MS Family Group were url links. I have this situation because we have 7 family members and MS only allows up to 5 per family group. So I have myself plus 4, and my partner has an account with the remaining person.

Good luck on fixing this....We are really counting on you all. OneDrive is a fantastic service and in the nearly 20 years (I started back when it was "SkyDrive") It is difficult to imagine life without it and it keeps getting more capable and reliable....Of course, with the exception of current issue....

Thanks!