SharePoint Online intelligent versioning uses algorithms to decide what file versions must be kept for file recoverability. Unwanted versions are discarded (trimmed). A notional 500 version limit applies when intelligent versioning is in force but if data lifecycle management (retention) is used, SharePoint cannot trim versions to keep within the 500 version threshold. Some change is needed to resolve the conflict.
Intelligent versioning means that SharePoint Online manages file versions automatically and only keeps what’s needed. The feature works for OneDrive too, if only you can figure out how to enable it. Intelligent versioning can be enabled for a OneDrive account manually. PowerShell is the best option to enable intelligent versioning across a tenant. But how? We explain all here.
Intelligent versioning recently appeared in SharePoint Online. The purpose is to save storage by removing unnecessary versions. But retention policies and labels can stop the removal of versions. This article explains what happens when SharePoint Online attempts to trim (remove) unwanted versions of files under the control of retention policies and labels.