Blog

Do I Really Need a Backup for Microsoft 365?

In October 2024, Microsoft confirmed a significant issue in its cloud infrastructure that caused more than two weeks’ worth of security logs to be lost across services like Microsoft Entra ID, Defender for Cloud, and Purview.

User content wasn’t affected — but many organizations lost visibility into their own environments for nearly a month.

Then, in June 2025, Microsoft 365 experienced a global outage that lasted several hours. Teams calls dropped. Outlook stopped syncing. SharePoint sites froze. Across offices, IT managers stared at dashboards and asked the same question:

“Is our Microsoft 365 environment more vulnerable than we realized? Is our data secure?”

These weren’t isolated events. They reminded IT leaders that cloud-based doesn’t mean invincible. Microsoft 365 is a powerful platform for uptime and collaboration. But its native tools don’t prevent every form of data loss.

Accidental deletion, ransomware, or even small software bugs can put critical data at risk.

If you manage IT, compliance, or business continuity, it’s vital to understand the difference between availability and recoverability. Having access to your data isn’t the same as being able to get it back when it’s lost or corrupted.

Data resilience is your responsibility — and many organizations only realize that gap after an incident.

The Cloud Myth: “Microsoft Has Us Covered”

It’s easy to assume:
“We use Microsoft 365, so our data is backed up.”

Microsoft’s infrastructure is resilient and globally distributed, but service availability doesn’t equal data protection.

A 2024 industry study found that 43% of IT managers believe Microsoft handles all M365 backups, yet nearly half of respondents had permanently lost cloud data due to accidental deletion, ransomware, or expired retention.

Here’s the truth: Microsoft keeps services online and redundant. But it doesn’t guarantee recovery of specific data to any previous point in time. Version history, retention policies, and recycle bins help, but they aren’t true backup solutions.

As Microsoft states in its own documentation, built-in tools “do not replace third-party backup solutions for all accidental or malicious deletion or corruption events.”

Bottom line: Cloud-hosted doesn’t mean covered. You need to know exactly what Microsoft protects, and where your accountability begins.

What Microsoft Covers — and What It Doesn’t

Understanding the shared responsibility model is key.

 What Microsoft Covers

  • Infrastructure uptime through global redundancy and replication.
  • Built-in protections like version history, recycle bins, and short-term retention.
  • Service availability SLAs to keep the platform operational.

 What Microsoft Doesn’t Guarantee

  • Full point-in-time recovery across workloads.
  • Granular and large-scale restoration for complex incidents.
  • Long-term retention beyond default policies (typically 30–93 days).
  • Protection from user error, ransomware, or insider threats.

In short, Microsoft ensures the platform runs. You’re responsible for making sure your data is recoverable and compliant.

What Happens When You Rely on Microsoft 365 Without a Backup

Scenario A – No Dedicated Backup

Your company (500 users) depends solely on Microsoft 365’s native retention. On Friday afternoon, a compromised account deletes thousands of OneDrive and SharePoint files. By Monday, teams are missing critical data, recycle bins have been emptied in haste, version history only covers the last few days, and recovery drags on for days, with compliance teams asking tough questions.

Scenario B – With a Backup Solution

Same incident, but this time, you’ve deployed a Microsoft 365 backup. Mass deletion is detected. You restore all affected data from a backup that finished just hours earlier. By Monday morning, everyone’s back to work.

Resilience isn’t automatic. It’s intentional.

Five Reasons to Back Up Microsoft 365

1. Human Mistakes Happen Every Day

Even well-trained employees accidentally delete or overwrite files. Sometimes you don’t notice until weeks later, long after the recycle bin has emptied. A dedicated backup lets you roll back to any point in time and restore data instantly.

2. Ransomware Is a Matter of “When,” Not “If”

A single phishing email or compromised credential can lead to encrypted or destroyed data. Independent backups store clean, isolated copies in an alternate location so you can restore quickly to a pre-attack state. When prevention fails, backup is your last line of defense.

3. Retention Limits Can Break Compliance

Industries like healthcare, finance, and legal often require years of data retention. Microsoft’s defaults are far shorter—30–93 days for deleted data and six months for logs.

A proper backup lets you set custom retention policies and meet regulations like HIPAA, SOX, and GDPR with confidence.

Microsoft’s built-in eDiscovery tools are designed for legal hold and investigation, not recovery. They can struggle with large datasets and don’t support point-in-time restore or rapid rollbacks. Third-party backups enable fast, complete data retrieval across services,  without disrupting users or risking accidental modification.

5. Internal Threats Are Real

Data loss isn’t always external. Employees may delete or hide information before leaving the company, and once their account is gone, so is their data. Backups preserve everything, even after deactivation, ensuring business continuity and accountability.

Key Considerations for Your Microsoft 365 Backup Strategy

Once you’re aligned on the “why,” it’s time to focus on the “how.”

1. Identify What Needs Backing Up

Begin by mapping your core Microsoft 365 workloads – the data employees rely on every day:

  • Exchange Online mailboxes
  • SharePoint Online libraries
  • OneDrive for Business

Consider your regulatory and compliance requirements to define the appropriate scope and retention for this data.

Ask: What would happen if this data were gone for a day? For a week? Or forever?

2. Define Retention and Restore Requirements

Establish your recovery objectives:

3. Evaluate Tools and Capabilities

You have two primary options:

  1. Microsoft 365 Backup Storage — Microsoft’s native backup for OneDrive, SharePoint, and Exchange that enables rapid restoration of entire workloads.
  2. Third-party Backup-as-a-Service (BaaS) — Independent solutions offering deeper coverage, granular restores, longer retention, and isolated storage.

Look for:

  •  Granular restore control
  • Immutable, encrypted storage
  • Role-based access
  • Automated monitoring and testing
  • Archiving or capacity savings options

4. Build and Test Repeatable Processes

Backup is only effective if it works under pressure. Automate schedules, monitor results, and run restore drills regularly. Document roles, escalation paths, and validation steps. Keep your backup repository secure; ideally, encrypted and isolated.

5. Evaluate Cost vs. Value

Backup isn’t an expense — it’s insurance for business continuity.

Compare: Storage costs (Microsoft 365 Backup Storage) vs. lost productivity, downtime, and compliance penalties.

Frame backup as part of your resilience strategy, not just an IT line item.

Building Data Resilience for Microsoft 365

A resilient Microsoft 365 strategy combines Microsoft’s strong uptime with an independent, automated backup layer.

That’s where CrashPlan helps.

CrashPlan empowers organizations to strengthen Microsoft 365 data protection through secure, policy-driven backups for workloads like Exchange Online, SharePoint, and OneDrive.
It complements Microsoft’s shared responsibility model, giving IT teams control, visibility, and confidence in their recovery process.

  • Automated Protection: Silent, continuous backups capture every version of critical files.
  • Zero-Trust Integration: Works with Microsoft Entra ID and Okta to enforce identity and access controls.
  • Flexible Storage: Use CrashPlan’s storage or your own cloud (Azure, AWS, Google Cloud, or others) to meet cost and compliance goals.
  • Compliance-Ready: Policy-based retention and legal hold support regulated industries.
  • Cost-Conscious: Leverage archiving capabilities to reduce your SharePoint pooled storage usage and save on Microsoft storage fees.

CrashPlan makes Microsoft 365 backup simple, secure, and scalable — helping businesses stay resilient, compliant, and productive no matter what happens in the cloud. With a dedicated backup strategy, you protect more than data, you protect business continuity, compliance, and customer trust.