Hello, 

We were recently migrating from onedrive files always available to the files on-demand functionality.  

During our initial tests we discovered something odd.  

The setting for files on-demand is configured by a group policy and for testing we target our policy to a specific device group.  

We also use a configuration baseline to verify if the setting has been correctly implemented on our pilot machines.  

Now what we noticed is that some our test devices had the correct setting applied but no change in behavior of the onedrive client. All the files were still available offline and the switch for files on-demand was not available in the interface. 

So what happened there ? We discovered that if we rebuild the local user profile the issue was resolved and did not come back. But recreating a few thousands of local profiles is not really an option.  

After some digging we found that the files on-demand driver was failing and this could be seen in the following config file.  

%localappdata%\Microsoft\OneDrive\settings\Business1\global.ini  

You can see the following entries : 

• PlaceholdersTurnedOffByFilterError = true 
• SavedPlaceholdersEnabledState = false 

So we created a powershell config item script for detection and saw that about 30% of the test users had this issue. 

We opened a microsoft call for root cause analysis but we discovered the following option was a silent fix and so far the issue did not reappear.  

1. Stop the running onedrive executable 
2. Remove %localappdata%\Microsoft\OneDrive\settings\Business1 folder 
3. Remove the following registry key HKEY_CURRENT_USER\SOFTWARE\Microsoft\OneDrive\Accounts\Business1 
4. Set the following entries to 0 
   • [HKEY_CURRENT_USER\SOFTWARE\Microsoft\OneDrive] 
   • “ClientEverSignedIn”=dword:00000000 
   • “SilentBusinessConfigCompleted”=dword:00000000 
5. Restart the onedrive with the /background parameter 

This should result in a silent recreation of the onedrive setting file and an automatic single sign on experience for the logged on user.  

We used a powershell script for automatic detection and resolution. If required drop us a line and we can send over the repository.

Enjoy