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As a result of using Files On-Demand, files may become Online-only. The contents of a file in this state are not stored on disk, and as such, cannot be read by Veeam Agent for Microsoft Windows.
Veeam Agent for Microsoft Windows does not interact with the files in such a way as to cause OneDrive to automatically download Online-only files.
Files in the OneDrive folder in an Online-only state at the time of backup are silently skipped and are not available for restore from the resulting restore point.
Only local files are able to read by Veeam Agent for Microsoft Windows.
More information about file states can be found in Microsoft documentation here.
There are two ways to force files in OneDrive to become local and protectable with Veeam Agent for Microsoft Windows.
After that, all the OneDrive files will be downloaded to the computer and available for the Agent for Windows backup.
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