Office 2013 latest update broke new profile creation on all network computers

Question

Hi,
Reporting a bug here!
Setup details:
We're using samba 3 as our backend and all workstation are Windows 7 Pro x64.
Office 2013 Home and Business Retail (en-us) Click 2 Run version
Context:
Deployed to the whole network of one of our client using the Office Deployement Tool.
We update their base update (no updates) to the latest update 15.0.4569.1508
Everything was working alright after initial Office 2013 installation with no updates. After updating the all the PCs to the latest version as of 31/03/2014, the user profile creation broke for newly created user.
Symptoms and causes:
Trying to log on as a new user on the machine would give the following error on Logon before automatically loging off because it cannot copy the following file to the new user profile:
D:\Users\Default\AppData\Local\Microsoft\Windows Live\Bici\_00.sqm
D:\Users\Default\AppData\Local\Microsoft\Windows Live\Bici\_01.sqm
D:\Users\Default\AppData\Local\Microsoft\Windows Live\Bici\_02.sqm
The Bici folder has Read and Execute permissions for everyone but the _XX.sqm files inside only have permissions (Full Control) for SYSTEM and Administrators and LOCAL SERVICE with the all permissions EXCEPT:
- FULL CONTROL
- TRAVERSE FOLDERS/EXECUTE FILES
- CHANGE PERMISSIONS
- TAKE OWNERSHIP
Solution:
I gave "everyone" Read and Execute permission on those files and the new user could log in and his profile got created alright.
The files with broken permissions time stamp shows they've been modified during the Office 2013 update and Bici seems to be a OneDrive related service. This bug should get fixed ASAP.
Event log error:
Windows cannot copy file \\?\D:\Users\Default\AppData\Local\Microsoft\Windows Live\Bici\_01.sqm to location \\?\D:\Users\TEMP\AppData\Local\Microsoft\Windows Live\Bici\_01.sqm. This error may be caused by network problems or insufficient security rights.
 DETAIL - Access is denied.
- <Event xmlns="http://schemas.microsoft.com/win/2004/08/events/event">
- <System>
  <Provider Name="Microsoft-Windows-User Profiles General" Guid="{DB00DFB6-29F9-4A9C-9B3B-1F4F9E7D9770}" />
  <EventID>1509</EventID>
  <Version>0</Version>
  <Level>3</Level>
  <Task>0</Task>
  <Opcode>0</Opcode>
  <Keywords>0x8000000000000000</Keywords>
  <TimeCreated SystemTime="2014-04-04T07:15:51.922563800Z" />
  <EventRecordID>9615</EventRecordID>
  <Correlation />
  <Execution ProcessID="940" ThreadID="1764" />
  <Channel>Application</Channel>
  <Computer>F00241D1DAAAD</Computer>
  <Security UserID="S-1-5-21-1582357797-4105456612-768596941-1206" />
  </System>
- <EventData Name="EVENT_COPYERROR">
  <Data Name="Source">\\?\D:\Users\Default\AppData\Local\Microsoft\Windows Live\Bici\_01.sqm</Data>
  <Data Name="Target">\\?\D:\Users\TEMP\AppData\Local\Microsoft\Windows Live\Bici\_01.sqm</Data>
  <Data Name="Error">Access is denied.</Data>
  </EventData>
  </Event>

Answer 1

Hi dude,
I appreciate that your sharing your experience and solution here. And, I would report it through our internal channel. Thanks again. 
Tony Chen
TechNet Community Support