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Enterprise Backup
Veeam Backup

Cut Veeam Backup Storage Costs by up to 80% with a Predictable, Egress-Free Model

19.10.2025

10

Minutes
Thomas Demoor
CTO Impossible Cloud
Stop overpaying for hidden fees and vendor lock-in. Discover how S3-compatible object storage with zero egress charges delivers performance, security, and predictable savings for your Veeam backups.

For enterprise IT leaders and MSPs, managing Veeam backup storage in the cloud presents a significant challenge. The primary pain point is cost unpredictability, driven by hidden egress fees and complex API charges that erode budgets. Vendor lock-in creates further strategic risks, making it expensive to switch providers. This article outlines a clear path to leveraging S3-compatible object storage to eliminate these issues. We will explore how a model with zero egress fees, robust security features like immutable backups, and an 'Always-Hot' architecture can reduce your total cost of ownership by 60-80% while increasing performance and data control.

Key Takeaways

  • Eliminate unpredictable cloud costs for Veeam backups by choosing a storage provider with zero egress fees and API charges, saving 60-80% on typical expenses.
  • Protect your Veeam backups from ransomware with S3 Object Lock, which creates immutable copies that cannot be altered or deleted by attackers.
  • Break free from vendor lock-in with a 100% S3-compatible API, allowing you to migrate your Veeam backup storage without rewriting code or changing workflows.

Eliminate the #1 Cloud Pain Point: Unpredictable Costs

Most enterprises struggle with surprise costs from major cloud providers. Egress fees and API charges often exceed the storage costs themselves, making ROI calculations nearly impossible. Organizations report that these hidden fees can inflate their monthly cloud bills by 3-5x for data-intensive workloads like backups. This unpredictability is the top concern for 95% of IT leaders. A transparent pricing model without these charges can reduce typical cloud storage expenses by 60-80%, providing clear, predictable budgeting. This approach transforms your cloud backup storage from a financial risk into a predictable operational expense.

This cost-first approach directly addresses the primary challenge of modern data protection strategies.

Achieve Data Control and Break Free From Vendor Lock-in

Vendor lock-in is a major strategic risk for enterprises. Proprietary APIs and punitive egress fees make switching cloud providers prohibitively expensive, trapping your data. An effective exit strategy requires open standards from day one. Using a fully S3-compatible API ensures your existing tools, scripts, and applications continue to work without code rewrites. This drop-in replacement capability protects your past investments of thousands of man-hours. You can migrate your Veeam backups simply by changing the endpoint, keeping everything else the same. This model provides an exit strategy by design, ensuring long-term data control and independence.

Here is how S3 compatibility delivers true data portability:

  • It allows seamless integration with your existing Veeam workflows, requiring zero code changes.
  • It protects your investment in current tools and scripts, with a 100% API match.
  • It eliminates data gravity by removing the cost barrier (egress fees) to moving data.
  • It supports advanced S3 features like versioning and lifecycle management for full operational consistency.

With a foundation of true compatibility, you can focus on security features that protect your backups from modern threats.

Fortify Ransomware Protection with Immutable Veeam Backups

Ransomware attacks increasingly target backup infrastructure, making immutable storage a non-negotiable requirement for business continuity. Impossible Cloud's Veeam immutable backup solution uses S3 Object Lock to make backup data unchangeable for its entire retention period. Even with administrative access, no one can alter or delete a backup file until the lock expires. This feature is a critical defense layer, ensuring you always have a clean recovery point. This capability is essential for meeting cyber insurance compliance, which now often mandates immutable backups. Pairing Veeam with S3 Object Lock provides a robust defense against malicious actors trying to compromise your last line of defense.

This powerful security measure is complemented by an architecture designed for consistent performance.

Boost Performance with an 'Always-Hot' Storage Architecture

Complex storage tiering often creates operational fragility. Policies can drift, leading to restore delays, API timeouts, and unexpected fees when accessing archived data. An 'Always-Hot' object storage model eliminates this complexity entirely. All data is immediately accessible without any restore delays or fees, ensuring your third-party tools remain stable. This architecture delivers up to 20% faster backup performance compared to traditional tiered cloud storage. Strong read/write consistency and predictable low latencies ensure integrity for mixed workloads, from millions of small files to large archives. This model simplifies operations and strengthens your recovery posture, making your Veeam backup storage more reliable.

This performance advantage is built on a foundation of enterprise-grade standards.

Meet Enterprise Demands with Certified Security and Governance

For regulated industries like financial services, enterprise-grade compliance is essential. Impossible Cloud is certified for SOC 2 and ISO 27001, ensuring your Veeam backup storage meets stringent security and data control requirements. Identity and access management (IAM) with granular, role-driven policies and support for external identity providers via SAML/OIDC gives you full control. Multi-layer encryption, both in transit and at rest, protects your data at every stage. A first-class console UX simplifies bucket management, permissions, and monitoring without requiring deep API expertise. These features provide the governance and security needed for sensitive workloads without vendor lock-in.

Here are the core components of an enterprise-ready platform:

  1. Verified Encryption: Customer-controlled key management ensures data is always secure.
  2. Immutable Storage: S3 Object Lock provides audit-ready retention and ransomware defense.
  3. Certified Compliance: SOC 2 and ISO 27001 certifications meet requirements for regulated data.
  4. Granular IAM: Role-based access control (RBAC) and MFA secure every interaction.
  5. US-Based Operations: Data is kept in certified US data centers with country-level geofencing.

These capabilities are especially valuable for partners and MSPs building services on top of the platform.

Enable MSPs with Predictable Margins and Simplified Management

For Managed Service Providers, predictable costs are the foundation of profitable Backup-as-a-Service (BaaS) offerings. A model with zero egress or API fees means no surprise bills and no margin erosion. MSPs can quote BaaS and DRaaS services with confidence, knowing their costs are fixed. The partner-ready console offers multi-tenant management, automation via API/CLI, and robust reporting for streamlined operations. Fast onboarding and a cost-efficient structure allow MSPs to pass savings to customers or increase profitability on existing contracts. This predictability provides a significant competitive advantage in the crowded MSP market, especially when serving regulated industries.

Ultimately, this combination of cost, performance, and security empowers a modern data protection strategy.

Implement a Modern 3-2-1 Backup Strategy with Predictable Cloud Storage

The classic 3-2-1 backup rule-three copies of your data, on two different media, with one offsite-remains a cornerstone of data protection. Integrating a cost-efficient and secure cloud tier is the modern evolution of this principle. By using S3-compatible object storage as your offsite copy, you gain geographic redundancy and protection from local disasters. The absence of egress fees makes regular testing and restores financially viable, a critical part of any DR plan. Impossible Cloud's immutable storage and 'Always-Hot' access ensure your offsite Veeam backups are both secure and instantly available for recovery, fulfilling the promise of the 3-2-1 rule without the cost surprises. Start your free trial to see how predictable Veeam backup storage can be.

FAQ

What makes your Veeam backup storage solution enterprise-ready?

Our solution is enterprise-ready due to its combination of SOC 2 and ISO 27001 certifications, granular IAM with MFA/RBAC, multi-layer encryption, and full S3 API compatibility. The 'Always-Hot' architecture ensures consistent high performance, and our predictable pricing model with no egress fees allows for accurate budget planning.


How easy is it to migrate my existing Veeam backups?

Migration is straightforward. Because we offer a drop-in S3 replacement, you only need to change the storage endpoint in your Veeam configuration. All your existing backup jobs, scripts, and management tools will continue to work without any code changes, minimizing risk and accelerating the transition.


What kind of performance can I expect for my Veeam backups?

You can expect up to 20% faster backup and restore performance compared to traditional tiered cloud storage. Our 'Always-Hot' object storage model ensures all data is immediately accessible with consistent low latency, eliminating the delays and API timeouts common with tiered systems.


How does your pricing model work?

Our pricing is transparent and predictable. We charge for the storage you use without any egress fees, API call costs, or minimum storage durations. This simple model eliminates surprise bills and typically reduces cloud storage costs by 60-80% for backup and disaster recovery workflows.


Is my data secure and compliant?

Yes. We provide multi-layer encryption for data in transit and at rest, and our platform is SOC 2 and ISO 27001 certified. We also offer Immutable Storage with S3 Object Lock for ransomware protection and operate out of certified global data centers with a US presence to ensure data control.


What support is available for MSPs and channel partners?

We provide a partner-ready platform with a multi-tenant management console, automation via API/CLI, and detailed reporting. Our predictable cost model enables partners to build competitive BaaS and DRaaS offerings with stable, healthy margins. We also offer fast onboarding and dedicated local support for our North American partners.


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