Microsoft OneDrive - broken links
Microsoft appears to be stuffing around with this problem for over a year and as of March of this year has made the problem significantly worse.
I too am now affected and have resorted to using the mobile application to move files backwards and forwards between the folders I share with my wife. Luckily, I am not using it for business purposes, although I do pay Microsoft for their services.
The issue is described here with the first link been the best I have found on explaining that Microsoft has done something in their backend to break the system.
Narender Singh
Abhishek Mishra
As you can see the problem is not just related to Windows.
Windows Latest reported an out-of-the-blue OneDrive bug last year that obstructed file access in the File Explorer. The files appeared as internet shortcuts and clicking them initiated a web redirect instead of opening the file. Microsoft acknowledged the problem on a community post and now has a dedicated support page describing the issue.
However, it does not affect 100% of the users. Some OneDrive accounts list the shared folders just fine and sync normally through Windows Explorer. So, re-installing OneDrive or rolling back updates will not help in fixing the problem. It seems to be a cloud-side trigger, and unless Microsoft explains why it happened, we don’t know exactly what went wrong.
The support page is a load of rubbish
You find better information here
According to the link we should all start jumping up and down with Microsoft to get the situation rectified, as its obvious by the lack of remediation that Microsoft don't consider it a priority.
As I mentioned above, it does not seem to be a client-side bug. So, there are no workarounds or solutions at this time. I recommend that you contact Microsoft support and write on the Microsoft forums. A higher inflow of reports through official channels will probably help achieve a faster resolution.
Since all our systems are running Windows 11 Pro 24H2, they are all up to date and receiving updates. The last system was updated last year due to its version becoming EOL.
I checked Group Policy just to be thorough and that is not the issue, so it must be their backend.
#enoughsaid