OneDrive Brown Archive Icon and Missing Context Menu Options

A client in Oxford recently contacted us with a frustrating OneDrive issue on their Windows 11 machine. Files in their OneDrive folder were showing a small brown archive/box overlay icon instead of the usual sync status icons.

OneDrive small brown archive/box overlay icon

More importantly, the right-click context menu had lost the Always keep on this device and Free up space options entirely. OneDrive was running, files would download and open when accessed, but the Files On-Demand functionality had effectively disappeared from the shell.

Troubleshooting

We worked through the usual suspects methodically. None of the following made any difference:

  • Restarting OneDrive and rebooting the PC
  • Running onedrive.exe /reset
  • Re-registering the OneDrive shell extension DLL (FileSyncShell64.dll) via regsvr32
  • Manually writing FilesOnDemandEnabled registry values under HKCU\Software\Microsoft\OneDrive\Accounts
  • Verifying the Cloud Files Filter driver (CldFlt) was running (it was)
  • Checking shell icon overlay handler registrations in the registry (all present and correct)

Interestingly, the underlying infrastructure was working fine throughout. Checking the file attributes via PowerShell confirmed RecallOnDataAccess was set, meaning OneDrive was correctly creating cloud file placeholders. The problem was purely with the shell integration layer that provides the overlay icons and context menu options.

Simple fix

A full uninstall and reinstall of OneDrive resolved the issue completely. After reinstalling, the file overlay icons returned to normal, and the Always keep on this device / Free up space options reappeared in the right-click context menu straight away.

Steps to Reinstall OneDrive

  1. Open Settings > Apps > Installed apps, search for OneDrive, and uninstall it
  2. Restarting the PC is a good idea, although in this particular case it wasn’t required
  3. Download the latest OneDrive installer from microsoft.com and run it
  4. Sign back in with your Microsoft or work account
  5. Allow OneDrive to complete its initial sync. Overlay icons and context menu options should return within a couple of minutes

Your files are not affected by uninstalling OneDrive. They remain in the OneDrive folder on disk and in the cloud. The reinstall simply rebuilds the shell integration, though your files will resync afterwards.

Need Help with OneDrive or Microsoft 365?

We provide IT support and managed services to businesses across Oxfordshire and Buckinghamshire. Whether it’s a broken OneDrive setup, Microsoft 365 administration, or wider IT infrastructure support, we’re here to help. Get in touch with AGGIA IT Services to discuss your requirements.

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