“Update: I contacted Apple Support about this. They told me it’s a cosmetic issue that doesn’t affect iCloud storage functionality. Apple is aware of it, and their engineering team is investigating and working on removing the notification. According to support, we can continue using iCloud as usual while waiting for a fix. They didn’t provide a timeline.”
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Excellent job troubleshooting this!
To the OP and ALL those Affected:
Spread the word on this to Apple. With so many replies, Apple Support needs to see this thread for themselves.
Report this to Apple:
Do your Part: Provide Apple with feedback on this, reporting it as a bug. Apple may not get back to you directly, but the more feedback they receive on this, the more they will know what issues reside, and what needs to be fixed. These are just user-to-user forums. You are NOT speaking with Apple here. Apple barely reads these forums in their own will and time. No one here has access to your account (and that is a GOOD thing, BTW).
- Go Here: Feedback - iCloud - Apple
- Select: "Storage" for the "Feedback Type"
- Comment: that this all started after installing an update. Include the URL of this thread.
- Proceed from there as necessary