Change often happens very slowly and in the case of Windows Explorer being all sluggish and laggy when dealing with OneDrive files, that problem seems to have been around since the dawn of the dinosaurs. But at long last, in a small Windows beta update, Microsoft has apparently finally solved the issue.
The update in question is KB5052094, though it's only for those on the Review Release Channel of Windows 11 right now (via Windows Report). I use the standard public release, so I've not been able to check Microsoft's claims that it has fixed the "context menu opens slowly when you right-click cloud files" issue.
