Effective immediately, Microsoft has announced a temporary change to the way Office documents are edited in Microsoft Teams.
When you access a file within Teams, the edit function now requires an extra step. You will need to click the 3 dots to the left of the Close button to see More Options. From there, select "Open in Browser" (recommended option) or, for users with Office for Windows installed on their device, "Open in Desktop App". This will open the document in Office in a separate window from Teams and allow you to make changes. IT highly recommends opening the file in a browser to avoid any conflicts with co-authoring that may result if the file is opened within the desktop app.
Microsoft announced this change yesterday in order to "best support our Microsoft 365 Education customers worldwide and accommodate new growth and demand during these unprecedented times." Microsoft notes that this change is temporary, but does not state how long it will be in effect.
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