Microsoft quintuples daily auto-labeling capacity for SharePoint and OneDrive files

Microsoft Purview will raise auto-labeling throughput for existing content in SharePoint Online and OneDrive from 100,000 to as many as 500,000 files per tenant per day. Public preview runs from early to late September 2026, with general availability worldwide from early to late October 2026. The higher limit applies automatically to active auto-labeling policies. Policy conditions, label settings, and the end-user experience stay the same. Admins still monitor progress through coverage reporting and policy activity views. Microsoft still recommends simulation mode before turning on new policies. The change only helps tenants that already use or plan to create SharePoint and OneDrive auto-labeling policies.
Until now, large SharePoint and OneDrive estates often sat behind a hard daily ceiling. A mid-size tenant with years of files could watch auto-labeling crawl while Copilot readiness and protection work waited on the same backlog. Small admin teams felt the lag most when leadership asked for labels without extra headcount. Five times the daily capacity shortens that queue under the same rules. That is useful when policies are already precise. It is less useful when conditions are broad, because the system can now mark far more content each day. Throughput no longer hides weak policy design. Coverage reports become the real control surface, not the old daily cap.
Analysis
Treat this as a backlog accelerator, not a reason to invent new labels overnight. Before October GA, open your existing SharePoint and OneDrive auto-label policies, check coverage and activity, and run simulation on your largest libraries so the higher daily rate finishes known work instead of mass-labeling stale sprawl.
Source note
Pulse published by Collab365 Spaces, reviewed by Helen Jones on . Cite as "Microsoft quintuples daily auto-labeling capacity for SharePoint and OneDrive files", Collab365 Spaces. 1 source referenced.