Problem
You are not able to create Shared Drives, the option on Drive is grayed out.
Environment
- Education accounts
Solution
- Log in to the Admin console.
- Click on Apps > Google Workspace > Drive and Docs.
- Click on Sharing settings.
- Look for the tab Shared drive creation and click on it.
- Deselect the box Prevent users in mydomain.com from creating new shared drives. Use this setting to protect your organization from misuse of shared drives.
- Scroll down and click on Save.
- Go back to Google Drive, refresh the site, and you will be able to create Shared Drives.
Cause
The root cause of this issue, is an update for Education accounts that was released on January 24th.