Issue with One Drive after my hotmail was shut down

The hotmail.com account and its associated personal OneDrive are part of the same Microsoft account. When that Microsoft account is closed or deleted (for example, after long‑term inactivity or policy issues), both the email and the OneDrive tied to that account are affected.

From the available information:

1. Personal Microsoft accounts (Hotmail/Outlook.com, Xbox, Skype, etc.) automatically include a personal OneDrive. If that account is not accessed for a long period, Microsoft can:
   • Freeze the OneDrive when storage is exceeded or it has not been used for a long time.
   • Later delete the OneDrive and its contents if no action is taken.
2. OneDrive deletion and file loss
   • If an email or notification stated that “Your files will be erased on [date]” or that storage is full and files will be erased, and no sign‑in action was taken before that date, the OneDrive contents can be erased on that date.
   • After deletion, the files are non‑recoverable. Even Microsoft support cannot restore a permanently deleted account or its data.
3. Inactivity and permanent deletion
   • Microsoft permanently deletes accounts that have not been accessed in 2 years. Once deleted, the account and its email address cannot be restored or reused, and associated data (including OneDrive files) is permanently lost.
4. Why the new Microsoft 365 (Gmail‑based) subscription does not show the old files
   • The new Microsoft 365 subscription created with the Gmail address is a separate Microsoft account and a separate OneDrive. It does not automatically connect to or restore data from the old hotmail.com account.
   • If the original hotmail.com account and its OneDrive have already been deleted, there is no supported way to move or recover those missing folders into the new account.
5. What can still be tried
   • If the old hotmail.com Microsoft account is not yet fully deleted and can still be signed into, sign in directly to that account at OneDrive (not the new Gmail‑based account) and:
     • Download remaining files and folders to the local hard drive.
     • Or move/copy them into the new OneDrive (Gmail‑based) account manually.
   • If sign‑in is no longer possible and recovery flows fail, this indicates the account has already been permanently deleted and the data cannot be recovered.
6. About feeling “punished” for hacking or shutdown
   • The behavior described (account frozen, storage over limit, or long‑term inactivity) is governed by the standard Microsoft account and storage lifecycle: accounts and OneDrive that are unused or over quota for extended periods can be frozen and then deleted after notice.

If the hotmail.com account is already permanently deleted or cannot be recovered, there is no supported method in the provided information to restore the missing OneDrive folders. The new Microsoft 365 subscription with the Gmail address will only protect and store files that are uploaded or synced to that new account going forward.

References:

• Why did I get a message saying my files will be erased?
• Microsoft storage FAQs
• What does it mean when your OneDrive account is frozen?
• Error 0x8004def7 when signing in to OneDrive
• Attempting to access old email - Microsoft Q&A