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Exchange Online is imposing a new tenant-wide limit of 3,000 Dynamic Distribution Groups. Few tenants might be affected, but the question might be asked why Microsoft is limiting DDGs at this point. Is it a cunning plan to prompt people to use dynamic Microsoft 365 groups instead? Or are some tenants abusing DDGs in weird and wonderful ways? Who knows, but the limit applies from early April 2025.

https://office365itpros.com/2025/03/10/dynamic-distribution-groups-limit/

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