Veeam.Archiver.Service terminates due to 'System.OutOfMemoryException' after updating to Veeam Backup for Microsoft 365 7.0.0.3968

Veeam Backup for Microsoft 365 7.0.0.3968 has been impacted with an issue on the server relating to the use of the Exchange Online PowerShell module leveraged in some service operations. 

Currently Veeam is working closely with Microsoft Support to review the behavior. For the meantime, if you are affected by this issue, it is recommended to revert to the previous version of Veeam Backup for Microsoft 365. This Knowledge Base article will be updated as the investigation between Veeam and Microsoft presents new information.

Downgrade to build 7.0.0.3604 by completing the following steps:

1. Navigate to Control Panel and select "Uninstall a program" option
2. Uninstall Veeam Backup for Microsoft 365. This operation will not require the reconfiguration of the backup infrastructure, as the configuration databases will remain after the uninstallation.
3. Download version 7.0.0.3604 installer.
4. Mount installer ISO on Veeam server and install Veeam Backup for Microsoft365 from it.
5. Upgrade all remote proxies

Report bugs and issues for the Exchange Online PowerShell module https://learn.microsoft.com/en-us/powershell/exchange/exchange-online-powershell-v2?view=exchange-ps

Frequent use of the Connect-ExchangeOnline and Disconnect-ExchangeOnline cmdlets in a single PowerShell session or script might lead to a memory leak. The best way to avoid this issue is to use the CommandName parameter on the Connect-ExchangeOnline cmdlet to limit the cmdlets that are used in the session.