OneDrive files opened from Finder not recognized as cloud files on Mac

I am experiencing a persistent and fully reproducible issue with Microsoft 365 for Mac and OneDrive/SharePoint.

When I open a Word or Excel file stored in OneDrive or in a SharePoint library synchronized through OneDrive by double-clicking it in Finder, Office opens the file as if it were local:

• AutoSave is OFF
• the file is shown as saved locally / “Saved to my Mac”
• cloud-related features such as co-authoring do not work correctly

However, if I open the exact same file from within Word or Excel using Open > OneDrive / Online Locations / Sites, the file is immediately recognized as a cloud document:

• AutoSave is ON
• co-authoring works
• cloud functionality is restored

The behavior is therefore consistently reproducible:

Finder → OneDrive/SharePoint file → Office
= AutoSave OFF / file treated as local

Word or Excel → Open → OneDrive/SharePoint
= AutoSave ON / file correctly treated as cloud

This workflow had worked normally for a long time and stopped working after recent macOS / Microsoft 365 / OneDrive updates.

I have already updated macOS, Microsoft 365 and OneDrive, but the issue persists.

This appears to be related to the handoff between macOS Finder / Apple File Provider / OneDrive and Microsoft 365 for Mac rather than to a synchronization failure itself.

Could you please confirm whether this is now a known issue and, if so, whether a fix is planned or already being tested?

Given that the same issue is being reported by multiple Mac users, I would also ask that this case be escalated as a product-level issue rather than treated as an isolated local configuration problem.