As data volumes increase exponentially, the threat of data loss from cyberattacks, human error, or system failure has never been greater — which is why, in 2025, fortifying a data protection strategy has never made more sense. Backups continue to serve as the backbone of any data protection solution. But with a wide variety of software, tools, and services to choose from, how do you know which is right for you?
While traditional backup software is well-proven, Backup as a Service (BaaS) solutions are rapidly becoming the cross-industry standard. They each serve distinct roles, and which option has the edge over the other depends on several factors. Let’s dive into their key differences and help you make an informed decision about the best way to protect your organization’s data.
Backup software is a traditional approach to data protection, requiring businesses to purchase and manage their own backup solutions. This software is installed on-premises and is responsible for copying data from servers, databases, and other devices to a storage system to safeguard it against loss or corruption. The main appeal of backup software lies in its control and customization capabilities, with strong solutions offering a high degree of modularity to best fit an organization’s needs. Businesses who own backup software (and have the resources to support their own backup infrastructure) have complete authority over their backup operations, including where the data is stored, how often backups are performed, and how data is secured.
However, managing backup software can be complex and resource intensive. You have the keys to the Ferrari, but owning, driving, and maintaining it are all in leagues of their own. For enterprises, owning backup software often requires significant upfront investment in both software and hardware, and with it the demand of ongoing maintenance from an in-house IT team. Tasks such as installing updates, managing storage capacity, and ensuring data security require constant attention, which can divert resources away from other critical IT functions.
BaaS offers a modern approach to data backup by outsourcing the complexities of managing backup systems to a third-party provider, providing a faster and easier way to protect data. It’s catching on quick, as the vast majority (88%) of organizations have either already implemented BaaS or soon will.
BaaS is cloud-based, meaning administrators can securely access and manage their own backup and recovery operations via a web browser. It uses servers, storage, networking, and other infrastructure components hosted and managed by the BaaS provider. As such, BaaS eliminates the need for large initial investments in hardware and reduces the workload on IT staff, allowing them to focus on more strategic initiatives — hence the ease and scalability with which BaaS is often associated.
BaaS solutions are subscription-based, typically charged on a pay-as-you-go basis according to the amount of data backed up. This model not only makes it easier to get started with robust data protection but also ensures backup capacity can grow with your business without the need to purchase additional hardware. Furthermore, BaaS providers handle all maintenance and updates, ensure data security, and adhere to compliance standards, greatly simplifying the backup process.
It’s worth noting that some backup solutions offer Managed BaaS offerings. In contrast to standard BaaS offerings, fully managed offerings allow for a completely hands-off backup experience. Here, the BaaS provider handles all aspects of the backup and recovery process, including the backup and restore operations.
The choice between backup software and BaaS largely depends on your organization’s specific needs, technical capacity, and strategic goals. If you require tight control over your data and have the resources to manage complex systems, backup software may be the right choice. However, if you prefer a solution that minimizes IT workload and offers scalability and cost-efficiency, BaaS could be more appropriate.
The best backup solutions do not simply provide BaaS, but rather aim to provide the best of both worlds: the control, speed, and reliability of powerful backup software, with the ease of use and accessibility that BaaS provides. They should also be able to apply to cloud-based applications, including software-as-a-service (SaaS) applications. Indeed, a recent survey shows nearly a quarter (23%) of organizations desire to improve the protection of their SaaS data — including for platforms like Microsoft 365.
Here is where industry leaders like Veeam step in. Pushing boundaries, a backup service like Veeam Data Cloud for Microsoft 365 affords businesses a powerhouse solution of robust security features, lightning-quick backups, compliance with regulatory standards, and seamless integration with the latest APIs. Through a simple, scalable, subscription-based model, this solution offers world-class data resilience, and it does so with remarkable simplicity.
If you’re looking to simplify your backup strategy with software, backup infrastructure, and unlimited storage in an all-in-one cloud service — and utilize powerful data protection and security technology through a simple, seamless user experience — learn more about Veeam Data Cloud here.