How to Configure Bypass Rules for Veeam Backup for Microsoft 365 Internet Proxy Setting

KB ID: 4174
Product: Veeam Backup for Microsoft 365 | 8 | 8.1 | 8.2 | 8.3 | 8.4 | 8.5
Published: 2021-05-26
Last Modified: 2026-07-21
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Purpose

This article describes how to configure a bypass list for the Internet Proxy configured within Veeam Backup for Microsoft 365.

Solution

This procedure restarts services on the controller and backup proxies. Ensure that no backup or restore tasks are active before beginning.

How it Works

The Internet Proxy Bypass configuration uses a regular expression (regex) to define which domains Veeam Backup for Microsoft 365 accesses directly, bypassing the Internet Proxy settings.

For example, to exclude all addresses within the .local and veeam.com domains, the value .+\.local;veeam\.com is used.

Known Limitation
The Internet Proxy Bypass feature documented in this article only functions for Windows-based Backup Proxies.

How to Configure

Starting with Veeam Backup for Microsoft 365 v8, the bypass value is configured using the Set-VBOConfigurationParameter cmdlet. Manual editing of the Config.xml and Proxy.xml files is no longer required. The following steps are performed from the Veeam Backup for Microsoft 365 server using the Veeam Backup for Microsoft 365 PowerShell toolkit.

Note: Each backup proxy has its own internet proxy configuration and can either inherit the settings from the management server or use its own dedicated internet proxy, as described in Configuring Internet Proxy Server. These steps assume that a Global Internet Proxy has been configured, and that the backup proxies are set to Use internet proxy settings from the management server or Use the following internet proxy settings. If a backup proxy is configured with Do not use internet proxy, its configuration does not need to be modified.

Configure the Controller

Perform the following on the Veeam Backup for Microsoft 365 server (controller):

  1. Open the Veeam Backup for Microsoft 365 console.
  2. In the main menu ( ☰ ), expand Console and select PowerShell.
    Note: Launching PowerShell from outside Veeam Backup for Microsoft 365 may require manual loading of PowerShell modules.
  3. Update the script's variable to set the bypass value, then run it to configure the controller:
# Set the following variable
$bypassHosts = ".+\.local;veeam\.com"

# No changes needed below
Set-VBOConfigurationParameter -XPath "/Veeam/InternetProxy" -Key "BypassHosts" -Value $bypassHosts -Controller
Note: Restart the Veeam Backup for Microsoft 365 Service on the Veeam Backup for Microsoft 365 server for the change to take effect.

Configure the Windows Backup Proxies

Note: Remember that the Veeam Backup for Microsoft 365 server (controller) itself is also a proxy.

  1. Open the Veeam Backup for Microsoft 365 console.
  2. In the main menu ( ☰ ), expand Console and select PowerShell.
    Note: Launching PowerShell from outside Veeam Backup for Microsoft 365 may require manual loading of PowerShell modules.
  3. Run the following command to list the proxies and proxypools associated with the deployment. Use the hostnames and poolnames listed to ensure the script in step 4 completes without issue:
Get-VBOProxy | ft hostname,type,poolid
Get-VBOProxyPool | ft name,proxies,id
  1. Update the script's variables to set the bypass value and proxy hostname, then run the script to configure that proxy.

    When prompted, enter the Windows credentials for that proxy.
# Set the following variables
$bypassHosts = ".+\.local;veeam\.com"
$proxyHostname = "<hostname or IP>"

# No changes needed below
$vboproxy = Get-VBOProxy -Hostname $proxyHostname
$winserverCredentials = Get-Credential
Set-VBOConfigurationParameter -XPath "/Veeam/InternetProxy" -Key "BypassHosts" -Value $bypassHosts -Proxy $vboproxy -WindowsCredential $winserverCredentials -Restart

Note: Running the proxy or proxy pool configuration commands may return a deprecation warning for the -WindowsCredential parameter. This warning can be safely ignored; the configuration change still applies.

To configure all proxies in a pool, update and use the following script:
# Set the following variables
$bypassHosts = ".+\.local;veeam\.com"
$poolName = "<poolname>"

# No changes needed below
$proxyPool = Get-VBOProxyPool -Name $poolName
$winserverCredentials = Get-Credential
Set-VBOConfigurationParameter -XPath "/Veeam/InternetProxy" -Key "BypassHosts" -Value $bypassHosts -ProxyPool $proxyPool -WindowsCredential $winserverCredentials -Restart

If this KB article did not resolve your issue or you need further assistance with Veeam software, please create a Veeam Support Case.

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