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Key Differences Between Microsoft 365 Native Backup and Third-Party Solutions

Compare Microsoft 365 native backup with third-party solutions. Learn which offers better data protection, compliance, and recovery flexibility.

6 min read
Published on Sep 11, 2025
Microsoft 365 Native Backup vs Third-Party Solutions

It is fairly easy to fall into the misconception that Microsoft 365 native backup solutions are all that you need to keep your data safe and secure. That is the kind of mindset that many have when they first set up their systems. In fact, we should dispel some of the most common myths about Microsoft 365 native backup right now, including:

  • Deleted Files Aren’t Truly Gone Forever - It can happen in an instant and be truly devastating, but a deleted file might really be deleted forever. A lot of people will try to tell you that nothing is ever really deleted forever from a database, but that simply isn’t the case.

  • Microsoft Will Protect Me Against Insider Threats or Ransomware - Unfortunately, no. Microsoft does not make any guarantee that it will protect against insider attacks or even against ransomware attacks. Accepting this idea can quickly lead to letting your guard down more than you should.

  • Microsoft is Responsible for Data Loss - Once again, this is inaccurate and could lead to some serious issues if you allow yourself to believe that this is the reality. In truth, you are ultimately the party that must take care of your own data and the protection of that data.

These are some common misconceptions that you want to eliminate from your mindset as soon as possible. Make sure you are accepting the reality of backup security as it really is and not just how you wish it would be.

What Does Microsoft 365 Native Backup Provide?

There are some features offered by Microsoft 365 native backup that you might be curious about. It does offer some temporary backup for deleted files via its recycling bins, for example, deleted e-mails within the system can be retained for up to 14 days after they are deleted. As such, you can potentially retrieve some of the e-mails that you inadvertently deleted within that timeframe.

Files that are deleted off of SharePoint or OneDrive systems can be retained in recycling bins for up to 93 days after they are deleted. Be mindful of that if you discover that you need to recover files from either of those systems.

Microsoft 365 native backup also offers redundant storage of some files across different geographic locations. That is helpful in the event of a disaster or unexpected incident. It may be possible to recover at least some of your files if such an event takes place.

What Do Third-Party Backup Services Offer?

Although the Microsoft 365 native backup system is the place where many begin and end their search, there are other services out there that you should also be aware of. The fact is these third-party backup services often offer additional benefits that Microsoft 365 native backup simply cannot. Among the upsides of these third-party providers include:

  • Longer-Term Retention - These companies are happy to offer longer-term retention for your files and data than what you get with a Microsoft 365 native backup plan.

  • Improved Protection Against Data Loss - Any of us are capable at any moment of inadvertently deleting files that we were truly meant to hold on to. If that type of situation should occur, it is best to react rapidly. Third-party backup service providers offer improved levels of protection against data loss by providing more comprehensive backup storage than what is offered on Microsoft 365 native plans.

  • Centralized Management - Third-party providers can also offer centralized management of any backup management situations. They provide one easy way for individuals to monitor the data loss situations and respond to those situations quickly.

There are many advantages to using a third-party backup provider, and it is particularly important to understand when these services are a clear winner over the Microsoft 365 native offerings.

When Do Third-Party Backup Services Exceed Expectations?

Choosing between Microsoft 365 native services and what is offered by third-party providers is a matter of determining what your needs are and how those needs can be best addressed by each type of provider. As such, you probably want to know about some of the examples of when a third-party backup service is clearly better than Microsoft 365 native backup. Here are some times when that is the case:

Anytime you are undergoing an audit or legal hold on your data, you want to have access to as many files as possible dating back as far as possible. Microsoft 365 native systems will only get you so far. Digital Guardian explains what a data audit is and why it is so important:

Data auditing is the process of conducting a thorough review and analysis of a company’s data to ensure its accuracy, consistency, and security. This process typically involves checking if the data adheres to internal guidelines and regulations, whether it’s complete and consistent, and if proper safeguards are in place.

This process must be adequately prepared for, and many of the native tools on Microsoft 365 simply aren’t enough to make that happen.

When Broader Coverage is Necessary

It is one thing to rely on the native Microsoft 365 backup coverage for everyday tasks on your personal computer, but there is a decent chance that you will want broader and deeper coverage when handling sensitive material during the course of your daily work. If this is true, then you should certainly consider the value that third-party backup coverage providers can offer you.

When Frequent Support is Necessary

Don’t forget that you might require customer support in the midst of a data crisis. When that is the case, you want to have confidence that you can reach someone who knows what they are doing. As such, you should consider the fact that third-party backup services can offer support to help you untangle any particular issues that you might face.

Ultimately, there are many things that set a third-party cloud backup provider apart from what you receive with the native Microsoft 365 offerings. Keep this in mind as you consider both options. Once you have had some time to look it all over, reach out and contact us for more information about each option and which one might be right for you.

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