A Microsoft file hosting and synchronization service.
Not much comfort that this will be solved soon but found this which probably explains why some people have commented here that it started working again: "The most recent update comes from a Neowin article published on March 7, 2025. According to this report, Microsoft has confirmed that the issue with OneDrive shared folders appearing as internet shortcut links is tied to an ongoing backend migration process. During this migration, if one user’s account has been updated while another’s has not, the shared folder won’t function as a fully synced folder in File Explorer. Instead, it appears as a web shortcut that requires accessing via a browser.
Microsoft’s response explained that once both parties’ accounts are migrated, an automatic mechanism should convert these shortcuts back to properly synced folders within a few days. However, they have not provided a specific timeline for the complete migration and final fix. Other community posts also indicate that this problem has been ongoing for several months, with Microsoft reiterating that they are actively working to speed up the migration process."