limits on ms graph groups

Yes. There are several relevant limits related to groups in Microsoft 365 / Microsoft Entra ID that apply to a client (tenant):

1. Overall directory object limit (includes groups)
   There is a tenant-wide Microsoft Entra object limit that applies to all directory objects, including groups. An admin can create Microsoft 365 groups up to this overall object limit. There is no separate hard cap on “number of groups an admin can create” beyond that directory limit.
2. Per-user group limits
   These constrain how many groups a single user can own or be a member of:
   • Maximum groups a user can create: 250.
   • Maximum groups a user can be an owner of: 7,000.
   • Maximum groups a user can be a member of: 7,000 (some older guidance lists 1,000; use the higher current value from Microsoft 365 Groups limits).
3. Microsoft 365 Groups–specific limits
   For each Microsoft 365 group:
   • Maximum owners per group: 100.
   • Number of members: more than 1,000 supported, but only 1,000 can access group conversations concurrently and large groups may see delays in Outlook.
   • File storage: 1 TB + 10 GB per subscribed user, plus any additional storage purchased.
   • Group mailbox size: 50 GB.
4. Token group-claim limits (for apps using Graph/OAuth)
   When applications rely on group claims in tokens instead of querying Microsoft Graph directly, there are limits on how many group IDs can be included in a token:
   • Up to 200 groups in JWT (OpenID Connect/OAuth2) tokens.
   • Up to 150 groups in SAML tokens.
   • Up to 6 groups when using the implicit flow.
     If a user belongs to more groups than these limits, the token will not contain the full groups list; instead, the app must call Microsoft Graph (for example, “List a user’s memberships (direct and transitive)”) to get complete group membership.

In practice, a tenant can have a very large number of groups, bounded mainly by the Microsoft Entra directory object limit, while individual users and tokens have the more restrictive per-user and per-token group limits above.

References:

• Microsoft 365 Groups overview for administrators
• Common management tasks for Microsoft 365 Groups
• Manage groups in Microsoft Graph
• Configure group claims and app roles in tokens