Creating restricted channels within a team for confidential discussions or projects
Hi @Mehek Asif,
Good day and thank you for detailing your issue so clearly.
I'd love to clarify some confusion for your question.
Microsoft announced and confirmed that Private Channels are no longer limited to 30 per team. After the update:
- Up to 1,000 channels per team total (standard + shared + private combined)
- Private channels can have up to 5,000 members (previously 250)
- Meetings are supported in private channels
- Compliance (retention, eDiscovery, DLP, legal hold) is handled at the team’s Microsoft 365 group level, not individual user mailboxes
This change was officially communicated in Message Center notification MC1134737.
The rollout began in late 2025 and is progressing on a tenant‑by‑tenant basis into early 2026. During this migration period, existing private channels continue to operate normally without any impact. Once the migration is completed for your tenant, the updated private channel limits are applied automatically, and no support request or manual enablement is required.
If you are still seeing the 30 private channel limit, this indicates that your tenant has not yet completed the private channel migration. Migration start and completion timelines vary by tenant, and the limit will update automatically once the migration is finished.
Administrators can monitor the migration status using the following PowerShell cmdlet:
Get-TenantPrivateChannelMigrationStatus
No action is required to increase channel creation limits, as the limits are updated automatically once the migration is completed.
However, administrators should review and update compliance policies. Private channel messages are now stored in the team’s Microsoft 365 group mailbox, which means retention, DLP, legal hold, and eDiscovery policies must be applied at the group level rather than to individual user mailboxes to prevent any compliance gaps.
Administrators should review the following checklist:
- Add your Teams’ M365 group mailbox to Purview DLP/eDiscovery/Retention scopes.
- Verify Teams channel messages retention applies across standard/shared/private.
- During migration, ensure searches/holds include both group and user mailboxes.
- Monitor progress with the cmdlet above.
I hope this provides enough clarity and helps you stay inform with your current situation.
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