Microsoft announced that starting with Windows 11 version 26H2, the Windows settings backup policy will be enabled by default on Microsoft Entra-joined or hybrid-joined enterprise devices that meet certain eligibility criteria. Previously an opt-in feature, this backup tool helps preserve user settings across device lifecycle events. The default enablement excludes devices in EU DMA-regulated regions and sovereign or restricted cloud environments. Administrators can override the default setting using Microsoft Intune or Group Policy. The restore feature is not enabled by default and requires explicit admin action. This change aims to improve enterprise device management and user experience during device transitions.

Enabling the Windows settings backup by default improves the ability to preserve user settings during device lifecycle events, reducing configuration overhead after resets or replacements. However, it introduces a new default behavior that administrators must be aware of, especially in environments with strict data governance or regulatory requirements. Since restore is not enabled by default, no automatic restoration occurs without admin configuration. There are no known exploits or vulnerabilities associated with this change as of the publication date.

No immediate action is required if the default behavior aligns with organizational policies. Administrators who prefer to disable the backup feature can do so explicitly via Microsoft Intune or Group Policy, which take precedence over the default setting. The restore functionality remains opt-in and requires explicit configuration. Organizations in EU DMA-regulated regions or sovereign/restricted cloud environments are unaffected by this default change. Monitor official Microsoft communications for any updates or changes to this policy.