What Is OneDrive Files On-Demand? (2026)
OneDrive Files On-Demand lets you see and browse every file in your OneDrive from File Explorer (Windows) or Finder (Mac) without actually downloading them to your computer. Files download automatically the moment you open them, then can be turned back into online-only placeholders to save disk space.
It’s the feature that makes a 2 TB OneDrive usable on a laptop with a 256 GB drive.
How It Works
Without Files On-Demand, OneDrive downloads a full local copy of everything you sync — which fills your hard drive. With it on, OneDrive stores a tiny placeholder for each file. The placeholder looks and acts like the real file: you see its name, size, and thumbnail. When you double-click it, OneDrive downloads the real file on demand. You can later “free up space” to send it back to the cloud.
You always see your whole library. You only spend disk space on what you actually use.
The Status Icons Explained
This is what most people are really searching for — what those little badges mean:
| Icon | Name | Meaning |
|---|---|---|
| White cloud outline (blue edge) | Online-only | The file is in the cloud only. It uses no disk space. Opening it downloads it. |
| Green checkmark outline (white center) | Locally available | You opened it, so a local copy exists. You can right-click > Free up space to make it online-only again. |
| Solid green circle, white check | Always available | Marked Always keep on this device — it’s downloaded and stays downloaded, even offline. |
| Blue circular arrows | Syncing | The file is uploading or downloading right now. |
| Red circle, white X | Sync error | Something’s wrong — see how to fix OneDrive sync issues. |
| Gray X / lock badge | Restricted | A sync error or permission issue is blocking the file. |
| People icon | Shared | This file or folder is shared with other people. |
How to Turn On Files On-Demand
It’s on by default on recent Windows and Mac builds, but to check or enable it:
- Click the OneDrive cloud icon > gear > Settings.
- Go to Sync and backup > Advanced settings.
- Turn on Files On-Demand (older versions: Save space and download files as you use them).
On Mac, it’s under OneDrive Preferences > Preferences tab > Files On-Demand.
Control What Stays on Your Device
Right-click any OneDrive file or folder:
- Always keep on this device — downloads it and keeps it offline-ready forever (solid green circle). Use this for files you need without internet.
- Free up space — removes the local copy and makes it online-only (cloud outline). Use this to reclaim disk space. See how to free up space in OneDrive.
You can mix and match — keep your active project folder always-on, and let everything else stay online-only.
Why a File Might Not Open Offline
Online-only files (cloud icon) need internet to open, because the real data lives in the cloud. If you’ll be on a plane or off the grid, right-click the files you need and choose Always keep on this device first.
Troubleshooting
Files On-Demand toggle is greyed out or missing
Update OneDrive and Windows. On very old builds the feature isn’t available. Restart OneDrive after updating.
Turning off Files On-Demand froze my PC
Disabling it forces OneDrive to download everything at once. If your library is large, this can fill the disk and slow things down — leave it on unless you have a specific reason.
A file shows the cloud icon but won’t download
You may be offline, or the file errored. Check your connection, then see how to fix OneDrive sync issues.
Everything keeps downloading on its own
Some backup tools and antivirus scanners open every file, which pulls online-only files local. Exclude the OneDrive folder from full scans, or set folders back to Free up space.
Quick Reference
| Icon | What it means |
|---|---|
| Cloud outline | Online-only, no disk used |
| Green check outline | Downloaded, can free up |
| Solid green circle | Always kept offline |
| Blue arrows | Syncing now |
| Red X | Sync error |
Related OneDrive guides: How to free up space in OneDrive · How to fix OneDrive sync issues · How to stop OneDrive from syncing · How to turn off OneDrive backup · How to share a OneDrive folder
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