At Ignite we announced a major improvement to the way secure external sharing of files and folders works in both OneDrive and SharePoint in Office 365 and we wanted to share what this means for users...
Updated Jun 25, 2020
Version 4.0
Blog Post
StephenRice
Microsoft
MicrosoftHi Paul Matthews ,
When someone shares a document/folder with an external user, the external user receives a one time code. As expected. Do these external users ever get added to the guest section in our AD?
They do in some cases, primarily when they have an O365 account already. It also happens every time when the new Azure B2B preview is enabled.
In the old classic SharePoint sites (STS#0), it used to sometimes add the people to Azure AD guests. We thought it was related to if the external account was a 365 license account in another tenant.
In these cases, I believe it always created an account.
In the modern SharePoint Sites (STS#3)/Groups, when we share with these users they never get added to Azure AD guests. Is this expected? Is there a different procedure to go through to ensure the users are added to AD as guest users?
If you share a file/folder, there are some cases where they get added to Azure AD (based on if they have an account) but otherwise they do not. If you enable the new Azure B2B preview, guest users will always be created.
Hope that helps!
Stephen Rice
OneDrive Program Manager II