Rajeev Pentyala – Microsoft Power Platform

Audit data is now stored separately from customer records so an organization’s audit log can grow to many terabytes in size without limiting available Database capacity.

Audit Retention Policy:

• In the ‘Admin Center’, on the ‘Environment’ page now we have ‘Auditing -> Manage’ option to set the Audit Retention Policy.

• Select one of the options from the dropdown to set the retention duration.

• Audit records are automatically deleted after the retention period is over, relieving administrators from the burden of deleting audit data manually. 
• It is also possible to keep the audit log indefinitely by not specifying a retention period.

Free up capacity:

• With the new audit deletion options, Administrators can delete the logs of one or more audited tables, delete the user access logs, or delete logs up to a specific date in order to free up storage space.

Refer the docs link for more insights.