SharePoint Online Drops One Time Passcodes for External Access

From July 2026. SharePoint Online and OneDrive for Business will use Entra B2B Collaboration (guest accounts) to control external access to shared files. This change has been coming since 2021, but it takes time for organizations to get their heads around changing the way to grant external access. It’s time to embrace guest accounts, and that means doing some work to manage guest accounts on an ongoing basis.

https://office365itpros.com/2026/03/06/guest-accounts-spo/