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MC1469552 New file policy creation in Microsoft Defender for Cloud Apps is ending

Summary

  • Microsoft Defender for Cloud Apps file policies are being retired, and new file policy creation will stop before the retirement date.
  • Existing file policies will continue to work for a limited period, but they will no longer be supported or enforced after retirement.
  • Organizations that use file DLP in Defender for Cloud Apps should migrate those policies to Microsoft Purview to preserve protection and avoid duplicate enforcement.
  • If your organization does not use Defender for Cloud Apps file DLP, there is no action required and other policies are unaffected.

Primary Service: Defender XDR
Admin Impact: High
User Impact: Low
Release Start: 01 Oct 2026
Release End: 01 Oct 2026
Services: Defender XDR, OneDrive, Purview, SharePoint
Category: Plan for change
Tags: Admin Action, Retirement

History

9/9/2026 Item Added to Message Center

Microsoft Message

File policies in Microsoft Defender for Cloud Apps are being retired on January 6th 2027. As part of this retirement, new file policy creation in Microsoft Defender for Cloud Apps will stop starting October 1st 2026. After this date, customers will no longer be able to create new file policies in Defender for Cloud Apps. Existing file policies will continue to be supported and enforced until January 6th 2027.

Equivalent file policy capabilities for SharePoint, OneDrive, and other SaaS apps previously supported by Microsoft Defender for Cloud Apps are now available in Microsoft Purview. No cost options are available for customers without the required Purview licenses. This will enable a unified experience in Purview for securing enterprise data, where there will be continued investment in discovering, classifying, and protecting sensitive data across the organization. Refer to Create and deploy a data loss prevention policy | Microsoft Learn for guidance on creation of new file policy in Purview

DLP policies to protect files in SharePoint Online and OneDrive are generally available in Microsoft Purview today. DLP policies to protect files in non-Microsoft SaaS apps are currently available in public preview in Purview for Box, Dropbox, Google & Salesforce. Additional connectors for non-Microsoft SaaS applications are planned to become generally available in future releases. Refer to – Use Microsoft Purview data loss prevention policies for non-Microsoft connected apps (preview) | Microsoft Learn for the latest releases & guidance on Non-microsoft Supported workloads in Purview.

Rollout schedule

Starting October 1st 2026, customers will no longer be able to create new file policies in Microsoft Defender for Cloud Apps. Existing file policies can be edited & modified until January 6,2027 after which the existing policies will stop enforcing.

Impact on your organization

If your organization currently uses DLP file policies in Microsoft Defender for Cloud Apps:

  1. Existing file policies can be edited & modified until January 6, 2027 after which the existing policies will stop enforcing.
  2. Beginning October 1, 2026, you will no longer be able to create new file policies in Defender for Cloud Apps.
  3. To maintain protection after January 6, 2027, Microsoft recommends migrating existing file policies to Microsoft Purview as soon as possible. Equivalent DLP and auto-labeling capabilities are available in Purview today
  4. After migrating, validate your new Purview policies before disabling the corresponding Defender for Cloud Apps file policies. Running equivalent policies in both products simultaneously can create enforcement conflicts. Visit – https://purview.microsoft.com/ to review your newly created file policies.
  5. After validating migrated policies in Microsoft Purview, disable the corresponding Defender for Cloud Apps file policies to avoid duplicate enforcement.
  6. Any Defender for Cloud Apps file policies not migrated before January 6, 2027 will stop being enforced and will no longer be supported.

If your organization does not use DLP in Microsoft Defender for Cloud Apps:

  1. No action is required at this time. Other policies and user experiences will remain unaffected.
  2. If you choose to implement DLP in the future, Microsoft Purview will serve as the unified solution for labeling and DLP policy management.

If you are not already using Microsoft Purview or do not have the required licenses, please reach out to your Microsoft account team.

Action required / Recommendations

For current DLP file policy users

  1. Begin planning your migration to Purview now to ensure continuity:
  2. Review your existing file policies in Defender for Cloud Apps. Visit https://security.microsoft.com/ Navigate to Cloud Apps → Policies → Policy management.
  3. If you would like to maintain these policies: Map and recreate them in Microsoft Purview using its DLP policy tools. Please see resources are available to help eligible customers with this migration.Migrate file policies to Microsoft Purview – Microsoft Defender for Cloud Apps | Microsoft Learn
  4. If your current File policies are no longer needed, you may disable them manually. Please see Control cloud apps with policies – Microsoft Defender for Cloud Apps | Microsoft Learn

For non-DLP file policy users:

  1. No immediate action is needed.
  2. If planning to implement DLP, review Microsoft Purview documentation to understand available controls and policy options. Please see Create and deploy a data loss prevention policy | Microsoft Learn