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Depending on the Microsoft 365 account configuration and the restrictions on using legacy authentication protocols, one of the following authentication methods may be used: Modern app-only authentication When you use this method, Veeam Backup for Microsoft 365 uses only the Azure AD application to authenticate to your Microsoft 365 organizations with enabled security defaults. You cannot use the Veeam Backup account with the modern app-only authentication method.When protecting Microsoft 365 organizations using Modern App-Only Authentication mode, consider the limitations in backup and restore functionality listed in KB3146 Modern authentication with legacy protocols allowed When you use this method, you can use both the Veeam Backup account and Azure AD application to authenticate to your Microsoft 365 organizations with disabled security defaults. You use MFA-enabled Microsoft 365 user account as the Veeam Backup account. Basic authentication When you use this method, you are required to provide a user account as the Veeam Backup account to authenticate to your Microsoft 365 organization.
Modern App-Only Authentication When you add Microsoft 365 organization using the modern app-only authentication method, you use only Azure AD application to establish and maintain connection between Veeam Backup for Microsoft 365 and Microsoft 365 organizations and perform a backup and restore from/to such organizations. Azure AD Application Permissions When adding a Microsoft 365 Organization using Modern app-only authentication you can create a new application in Azure Active Directory or select an existing one: Have Veeam Backup for Office 365 automatically create the Azure AD application and all the required application permissions will be granted automatically. or You can create an Azure AD application manually, then configure the permissions in accordance with "Requirements for Modern App-Only Authentication" section of the User Guide.
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