Well the honest answer to this question is – I wish I knew.
I have been searching for a definitive answer for about one hour now and my gut feeling is it doesn’t work.
I tried to set this up today and it almost works. We have created the Sharepoint site and the entity directories have been added. You can even see the files in the folder, I just can’t add any files using the buttons on the page. Instead I get this error
It is very difficult to find out what is going on and any official information about this because a lot of the discussions are on forums it’s difficult to know if the information is up to date and accurate.
When Office 365 was released I remember reading an article stating Sharepoint 2010 didn’t work so I wondered if this had changed.
firstly I read this forum
I also read Richard Knudson’s blog, which I found quite amusing and displayed the highs and lows you can get with CRM
finally and for me I think fundamently, I found this forum post on the office 365 site
this sums up the problem succinctly, basically the current solution for Sharepoint involves making a change which effects all of Sharepoint and these application type changes cannot be made to Sharepoint or CRM in the cloud.
The problem with CRM integration is that a .htc file is required to enable the CRM web parts which allow you to connect to sharepoint document libraries from within the CRM online interface. At this point, .htc file extensions are not allowed in sharepoint online and they are blocked by the strict browser file handling setting at the web application level.
I believe tenants are unique at the site collection level so changing these settings per tenant is not available (this has not been confirmed by MS) Basically what this means is full CRM integration is not available even though they claim it is available.
In addition to the HTC problem, there are sign in issues between the two authentication providers. While it has been stated MS will provide a fix for single-sign-on in Q4 2011, they have not said they will fix the allowed extensions nor browser file handling.
Therefore, the claim “CRM Online delivers a seamless end-user experience for end-users of Office 365” is a lie.
Where that leaves us…you can integrate fully with Sharepoint 2010 on-premises but not fully with Sharepoint Online.
The other key piece of information is this might be fixed by Q4 in 2011, which I assume is the UK Q4 because it seems to indicate it will be fixed in 2011.
I haven’t heard any information about when this will actually be fixed or if it’s close, if anyone knows any information on this please leave a comment.
On the plus side Sharepoint online is a really great resource for Microsoft partners, you get lots of free licences and don’t need a Sharepoint server.