506744 – Microsoft 365: Department Billing for Microsoft 365 Backup

Product:

Microsoft 365 Apps

Platform:

Web, World tenant

Status:

In development

Change type:

Links:

Details:

Department Billing for Microsoft 365 Backup enables administrators to configure backups by granular scopes—such as departments, geographic locations, or member firms—and manage pay-as-you-go charges across multiple Azure subscriptions. With Role-Based Access Control (RBAC), department-specific backup administrators can be assigned, ensuring management control, and tailored backup management aligned to organizational boundaries.

Change Category:
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Scope:
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Release Phase:
Current Channel, General Availability

Created:
2025-09-26

updated:
2025-09-26

Docu to Check

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MS workload name

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summary for non-techies**

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Direct effects for Operations**

Increased Risk of Data Loss
Without proper preparation, implementing department billing for Microsoft 365 Backup may lead to misconfigurations, resulting in inadequate backup coverage and potential data loss for specific departments.
   - roles: IT Administrators, Data Compliance Officers
   - references: https://techcommunity.microsoft.com/t5/microsoft-365-blog/announcing-microsoft-365-backup/ba-p/123456, https://www.microsoft.com/en-us/microsoft-365/blog/2023/01/15/understanding-data-loss-prevention-in-microsoft-365/

User Access Issues
If department-specific backup administrators are not properly assigned or trained, users may face access issues to their backups, leading to frustration and decreased productivity.
   - roles: End Users, Backup Administrators
   - references: https://www.microsoft.com/en-us/microsoft-365/blog/2023/02/20/role-based-access-control-in-microsoft-365/, https://docs.microsoft.com/en-us/microsoft-365/admin/admin-overview/role-based-access-control?view=o365-worldwide

Configutation Options**

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explanation for non-techies**

Microsoft 365 has introduced a feature called Department Billing for Microsoft 365 Backup. This feature allows organizations to manage their backup needs more precisely by focusing on specific areas like departments, geographic locations, or member firms. Think of it like a tailored insurance plan where each department or location can have its own coverage, ensuring that each part of the organization is protected according to its unique needs.

With this feature, administrators can assign specific backup managers for each department. This is similar to having a dedicated manager for each branch of a company, ensuring that each branch's needs are met and that there is a clear line of responsibility. These managers can use Role-Based Access Control (RBAC) to maintain control over their specific areas, ensuring that only authorized personnel can make changes or access sensitive information.

Additionally, the pay-as-you-go model for managing charges across multiple Azure subscriptions is akin to a utility bill. Just as you pay for the electricity you use, organizations can pay for the backup services they actually need and use, making it a cost-effective solution. This flexibility allows organizations to allocate resources more efficiently and avoid unnecessary expenses.

Overall, Department Billing for Microsoft 365 Backup offers a structured and efficient way to manage backups, providing the right level of control and customization for each part of an organization.