Veeam Data Platform - Upgrade to the latest 12.3 now

Veeam has just released their latest version of their flagship product – Veeam Data Platform 12.3. It is a big upgrade with many new features that had been added and improved, so In order to stay up-to-date with your IT environment, it's necessary to upgrade your Veeam environment. Version 12.3 of Veeam Backup and Replication introduces significant improvements that can transform your backup infrastructure, offering enhanced capabilities and addressing critical operational challenges.

The latest release of Veeam Backup and Replication 12.3 brings completely new features, such as Recon Scanner (proactive threat assessment technology via Coverware), IoC Tools Scanner ( you can be notified on the appearance of indicators of compromise (IoC)), Veeam Threat Hunter (accelerated signature-based malware scanning – able to find dormant threats in backups) Threat Hunter uses machine learning (ML) and heuristic analysis to track polymorphic malware. The threat signatures and ML models updated multiple times per day.

Microsoft Entra ID support (previously called Microsoft Azure Active Directory) in 12.3 allows you to detect and restore changes to Microsoft's Entra ID (Note: Microsoft Entra ID is a cloud-based Identity and Access Management (IAM) system that delivers access to your internal and external resources). You are able to Quickly identify and revert changes created by human error, threat actors, automated attacks, and more.

The latest release of Veeam Backup and Replication also supports Windows Server 2025 Hyper-V, for host-based backup of virtual machines (VMs).

Note: There is much more features but unfortunately we can't cover them all in a single blog post. Please refer to the What's new PDF (link at the bottom of the article).

However, before jumping into the upgrade, make sure to follow some guidelines.

Pre-Upgrade Preparation and Requirements

Before embarking on the upgrade journey, thorough preparation is essential to ensure a smooth transition. Let's break down the critical prerequisites:

System Requirements

Hardware Compatibility:

Minimum of 4 CPU cores
8 GB RAM (16 GB recommended)
80 GB free disk space for installation
Windows Server 2019/2022 for Backup Server
Latest Windows updates installed

Software Prerequisites

.NET Framework 4.8 or later
Microsoft SQL Server 2019 (recommended) or 2022
PowerShell 5.1 or later

Supported hypervisor versions:

VMware vSphere 7.0 Update 3 and later
Microsoft Hyper-V on Windows Server 2019/2022
Nutanix AHV 5.20 and later

Licensing and Subscription Validation

Verify active maintenance and support contract
Confirm current license allows upgrade to version 12.3
Download latest installation media from Veeam Customer Portal

Pre-Upgrade Checklist

Infrastructure Assessment

Backup Infrastructure Inventory

Document all existing Veeam components
Identify proxy servers, repositories, and scale-out backup repositories
Create a comprehensive network topology diagram

Configuration Backup

Export complete Veeam configuration
Create configuration backup using Veeam Configuration Backup tool
Store backup in secure, offsite location

Performance and Capacity Analysis

Review current backup jobs performance
Analyze repository storage utilization
Identify potential bottlenecks or capacity constraints

Check all the pre-upgrade checks in Veeam help here.

Upgrade Procedure

Step-by-Step Upgrade Process

Download Veeam Backup & Replication 12.3

Access Veeam Customer Portal
Download installation media
Verify file integrity using provided checksum

Pre-Upgrade Maintenance

Stop all backup and replication jobs
Pause any active data transfer processes
Close Veeam Backup & Replication console

Installation Sequence

Run installer with administrative privileges
Select “Upgrade” option during installation
Follow on-screen configuration wizard

then you should end up like this…

And we have a new notification here !

Component Upgrade Order

Upgrade Backup Server first
Upgrade management console
Update proxy and repository servers
Validate each component post-upgrade

Check all the above in the Veeam Help document online:

Please note that a reboot may be required after installing the update.

New Features and Enhancements in Veeam Backup & Replication 12.3

Veeam now able to do an inline threat detection during backup of Nutanix AHV environments. That's pretty cool.
With this latest release, Veeam Data Cloud Vault v2 is now completely integrated into Veeam Data Platform making it simpler for customers to streamline immutable, offsite backup.
Microsoft Entra ID backup and recovery – Microsoft Entra ID is a cloud-based Identity and Access Management (IAM) system that delivers access
to your internal and external resources

What's new from the release notes:

Recon Scanner provides proactive threat assessment technology, identifying adversary tactics, techniques, and procedures (TTPs) before a cyber-attack. Built from patent-pending Coveware technology used in thousands of ransomware incidents, this first integration of Coveware technology into Veeam Data Platform, solidifies Veeam as the first and only platform vendor offering this advanced level of proactive threat assessment technology.
IoC Tools Scanner enables organizations to be notified on the appearance of indicators of compromise (IoC) tools that are commonly used by cybercriminals including different techniques such as lateral movement, exfiltration, command + control, credential access, and more on protected machines. This tool significantly reduces the Mean Time to Detect (MTTD) threats, providing an opportunity to react before an attack.
Veeam Threat Hunter offers accelerated signature-based malware scanning, allowing organizations to cast a wider net and detect dormant threats in their backups, facilitating the rapid implementation of essential security measures to ensure business continuity. Built into Veeam Data Platform, Threat Hunter employs machine learning (ML) and heuristic analysis to identify advanced threats such as polymorphic malware, with threat signatures and ML models updated multiple times per day to expand detection to newly developing threats

And there is more, check the pdf link below for ALL new features and enhancements.

Now we have upgraded our server, we need to do some checks.

Post-Upgrade Validation

Run test backup and restore jobs
Verify all configured jobs
Check performance metrics
Validate reporting functionality

Monitoring and Optimization

Review backup job performance
Adjust configuration if needed
Update documentation
Schedule post-upgrade review

Links:

What's new in Veeam Backup and Replication 12.3 PDF

Final words

Upgrading to Veeam Backup & Replication 12.3 represents a strategic investment in your organization's data protection infrastructure. By following this comprehensive guide, you'll minimize upgrade risks while unlocking powerful new capabilities that enhance resilience, performance, and operational efficiency.
Pro Tip: Always consult official Veeam documentation and engage with Veeam support for environment-specific guidance during your upgrade process.