I learned from a previous question that plugin updates are downloaded as a zip file, and WordPress overwrites every file in the plugin folder whether or not that file actually had a change from one version to the next. My question is, if the user has added extra files to the plugin folder (such as .po/.mo files for language translation), will those files be deleted during a plugin update?
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Yes, the entire old directory will be deleted. So store files in the upload directory and other data in the database to keep all changes.
From class
Plugin_Upgrader
: