Hi Sumit,
I just tried it with a fresh installation (personal, not connected to any company):
- old installation, personal Microsoft account connected to OneDrive
- re-install (factory reset without keeping personal files)
- after installation there is a windows.old folder
- In that folder I can see my own "user"-folder with files. OneDrive items that are synced local are there. Online items are visible but not clickable.
I hardly believe this is how it's supposed to work. If I want to sell my personal device I have to:
>re-install
>login to delete the folder windows.old
>but as I'm forced to login with a Microsoft account, a new User folder is created
>re-install to get rid of it
>but a re-install creates a windows.old folder....
The only way I guess to 100% clean up the device is to create a bootable windows installation USB and delete the partitions. I can do that, but I think most users don't know how to.