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Default How large can a file get before it is too big for Excel to handle?

Is there a point when an Excel file can get too large for Excel to handle.
We have users that are opening large excel files and they are getting the
following error:

Excel cannot complete this task with available resources. Choose less data
or close other applications.

The file that we are having the most issues with is 409,774 KB.

Thanks in advance for any response you can provide.
 
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