Major incident

Kaseya: Datto SaaS Protection - M365 Backup Performance Degradation - Post-Graph Migration

Affected: SaaS Protection Backups

Current status of Kaseya: Partial outage — live Kaseya status

Timeline

1. Sep 30, 2026, 16:37 UTC
   monitoring
   Microsoft Graph API migration has been completed across all Datto SaaS Protection environments, including customers utilizing in-place archive configurations. No further migration activities are expected to impact backup operations. Some customers may continue to experience backup performance degradation while our engineering teams work to restore backup success rates to pre-migration levels. Multiple fixes and optimizations are being actively deployed across V2 and V3 environments, including improvements to Microsoft Graph API error handling and overall backup processing reliability. Teams continue to monitor the impact of each change as it is released. Current Backup Cadence: V2 environments: All Microsoft 365 services continue to back up three times per day. V3 environments: Exchange continues to back up three times per day. SharePoint, OneDrive, and Teams remain on a reduced cadence of one backup per day while optimization efforts continue to maintain high backup success rates and mitigate Microsoft service throttling. We do not currently have a fixed resolution date, as improvements are being delivered through ongoing remediation efforts rather than a single release. While performance is expected to continue improving, some customers may experience intermittent backup performance issues until all identified issues have been addressed. Based on current progress, we are cautiously optimistic that the remaining issues will be resolved over the coming days to weeks. We will continue providing updates as fixes are confirmed. Customers who have not completed the required Microsoft 365 tenant reauthorization should follow the instructions here: https://saasprotection.datto.com/help/M365/Content/Troubleshooting/General/ews-to-graph.html Should you have any additional questions or require assistance, please contact our support team at: https://helpdesk.kaseya.com/hc/en-gb#/contact Subscribe to the Kaseya Status Page for up-to-date information at: https://status.kaseya.com/
2. Oct 2, 2026, 20:23 UTC
   monitoring
   Backup performance and success rates continue to improve as additional optimizations are deployed across Datto SaaS Protection environments. Current efforts are focused on further enhancing backup performance and reliability, including continued improvements to help mitigate the impact of Microsoft service throttling. Overall trends remain positive, and we expect continued improvements as optimization efforts progress. Backup cadence remains unchanged: V2: All Microsoft 365 services back up three times daily. V3: Exchange backs up three times daily; SharePoint, OneDrive, and Teams remain at one backup per day while optimization efforts continue. We will continue to monitor results closely and provide additional updates as further improvements are deployed.
3. Oct 5, 2026, 15:44 UTC
   monitoring
   Backup success rates improved significantly over the weekend following the latest optimization efforts, and overall performance remains on a positive trend. The large majority of SaaS Protection customer accounts are processing backups normally, while engineering teams continue to implement additional post-Microsoft Graph migration improvements for environments that may still experience reduced backup performance across some Microsoft 365 services. To help maintain high backup success rates as optimization efforts progress, backup cadence remains unchanged: V2: All Microsoft 365 services back up three times daily. V3: Exchange backs up three times daily; SharePoint, OneDrive, and Teams remain at one backup per day. We will continue to monitor performance closely and provide further updates as additional improvements are implemented.
4. Oct 7, 2026, 20:13 UTC
   monitoring
   Backup success rates continue to trend positively and are returning to normal levels across SaaS Protection environments as additional post-Microsoft Graph migration improvements are deployed. Most customer accounts are now processing backups normally, and overall platform performance has continued to improve. Engineering teams remain focused on implementing additional enhancements and monitoring performance closely to ensure continued improvements. We will provide further updates as progress continues.
5. Oct 13, 2026, 19:20 UTC
   monitoring
   Backup success rates have largely returned to normal operating levels and remain stable across SaaS Protection environments. The vast majority of customer accounts are processing backups successfully, while ongoing optimization efforts continue to further improve consistency across the platform. As part of these improvements, backup cadence has now been standardized across all Microsoft 365 workload types and environments to three backups per day. Engineering teams will continue to monitor platform performance closely to ensure sustained stability and reliability.
6. Oct 15, 2026, 18:49 UTC
   monitoring
   Following a recent platform update, some SaaS Protection environments across multiple regions experienced increased Microsoft 365 API throttling, resulting in backup performance degradation and delayed backup processing for a subset of customers. The underlying issue has been addressed, and backup success rates are already trending positively as affected environments work through the existing backlog. Performance is expected to continue improving as processing catches up, and Engineering teams are closely monitoring recovery efforts to ensure a return to normal operating levels for all customers.
7. Oct 20, 2026, 19:55 UTC
   monitoring
   Backup success rates have largely returned to expected operating levels following the recent increase in Microsoft 365 API throttling, and platform performance remains stable across SaaS Protection environments. The vast majority of customer accounts are processing backups successfully, while Engineering teams continue to implement platform optimizations and enhancements to further improve consistency, performance, and overall service reliability.

Updates as published by Kaseya (original).