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77% of Firms Hit by M365 Governance Incidents as AI Tools Multiply

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77% of Firms Hit by M365 Governance Incidents as AI Tools Multiply

Montreal – September 23, 2026 -- Seventy-seven percent of organizations experienced at least one Microsoft 365 governance incident in the past year, even as two-thirds now run multiple AI tools against the same tenant content, according to the second annual State of M365 report released by ShareGate.

Three-quarters of organizations report Microsoft 365 governance incidents in the past year

The survey of nearly 1,800 IT professionals and leaders across nine countries found 38% left former employees or guests with access they should have lost, 35% hit an audit or compliance gap, and 26% had sensitive content reach the wrong people. A fifth incident category -- users unable to find content -- was reported by 41% but excluded from the headline figure, which would otherwise reach 82%.