You then have the option to sync files as you wish or by choosing to bring them offline or when you double click to open a cloud file, it will automatically download it for you.
You access these files right within your desktop and file explorer. With this feature you don't need to change the work because you see your cloud files just like your regular files. This means you can view all your files that you have synced without having them on your device. Files On-Demand allows access to all of your files without using storage on your device. Files On-Demand is a game changer for how you interact with your content within Office 365.