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Do Inactive/Terminated accounts require License assignment for M365/Onedrive/Mailbox retention

PREM 5 Reputation points
2023-05-10T19:36:31.2633333+00:00

We are using M365 E5 for active users.
To retain OneDrive/Mailbox data for 3-10years, Do we have to maintain additional licenses for Deleted/Terminated users?
Can you please point to this information in MS documentation too. I couldn't get clarity on this from the open documentation. Help me please.

Microsoft 365
Microsoft 365
Formerly Office 365, is a line of subscription services offered by Microsoft which adds to and includes the Microsoft Office product line.
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OneDrive
OneDrive
A Microsoft file hosting and synchronization service.
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  1. Emily Hua-MSFT 27,691 Reputation points
    2023-05-11T02:59:42.9233333+00:00

    Hi @PREM

    In my opinion, you do not need to assign license for deleted/terminated accounts.

    Please refer to following articles:

    OneDrive retention and deletion

    Set the OneDrive retention for deleted users

    If a user's Microsoft 365 account is deleted, their OneDrive files are preserved for a period of time. You can set this time period. You may enter a value from 30 through 3650 in the Days to retain files a deleted user's OneDrive box.

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