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In this demonstration, the speaker explains how to upload files from a desktop to OneDrive, especially for users transitioning from a district account to personal cloud storage. The speaker recommends organizing files by placing them into a single folder to streamline the uploading process and avoid complications that arise from creating multiple nested folders. To create a new folder, the user should right-click on the desktop, navigate to the "New" option, and select "Folder." This will open a new folder icon with editable text for naming, which the speaker names "desktop." The tutorial focuses on efficient file management and preparation for cloud uploading.