Microsoft Dumps OTP Authentication for SharePoint Online Sharing with Entra ID B2B

Microsoft is phasing out One-Time Passcode (OTP) authentication for SharePoint Online and OneDrive external sharing, replacing it with Entra ID B2B Collaboration, effective July 1, 2025 (MC1089315). Legacy OTP links will stop working, requiring users to re-share content to restore access for external collaborators, who must also register for mandatory MFA. Prepare now by notifying users, updating documentation, auditing shared content, and ensuring Entra ID B2B settings are configured. This shift enhances security but demands proactive planning to avoid disruptions.










