This policy setting lets you select the local PC as the default save location. It does not prevent apps and users from saving files on SkyDrive. If you enable this policy setting files will be saved locally by default. Users will still be able to change the value of this setting to save to SkyDrive by default. They will also be able to open and save files on SkyDrive using the SkyDrive app and file picker and Windows Store apps will still be able to access SkyDrive using the WinRT API. If you disable or do not configure this policy setting users with a connected account will save files to SkyDrive by default.