[World Backup Day] V13 Upgrade Failure: Veeam Configuration Backup Saved the Day

In-place upgrades represent the standard and vendor-recommended approach for advancing Veeam Backup & Replication (VBR) to newer releases, ensuring continuity of configuration, and retention of job etc without requiring a full reinstallation. But without a test lab, you are essentially performing a high-wire act. In this Real‑world “V13 Upgrade Failure: Veeam Configuration Backup Saved the Day”. While everyone talks about restoring data during “World Backup Day”, few share stories of how protecting the protector. Veeam’s own configuration backup can literally rescue your Veeam Backup and Replication (VBR) when an upgrade goes sideways. Please, see Migrate Windows Servers from Hyper V to Proxmox Correctly, and How to create a backup job for Proxmox VMs using VBR.
This feature turned what could have been a disaster into a smooth recovery, as seen in our VBR v13 in-place upgrade scenario. Not all backup stories are about VM restores etc. Sometimes it’s the configuration backup that makes the difference. Let’s talk about an upgrade gone wrong and how Veeam’s configuration backup feature literally rescued the environment.
Note: Exiting skips finalization steps that initialize IdentityService config, DB schemas, certs, and token dirs, leaving services “running” but incomplete leaves VBR unusable. Ensures you get the wizard that displays the completion of the upgrade.
Veeam do not recommend backing up the backup server configuration using backup jobs in Veeam Backup & Replication. This also includes the use of third-party tools or native Microsoft SQL or PostgreSQL database backups. Simply put, the only supported method for protecting the configuration of Veeam Backup & Replication is to use the native Configuration Backup tool.
Therefore, when a Veeam Backup Server is lost, a new machine should be set up, Veeam Backup & Replication installed, and a Configuration Restore performed to recover all settings from the previous Veeam Backup Server to the new deployment. This is exactly what this post covers regardless of the incident type.
Failed to Connect to Veeam Backup and Replication
Here, we were performing an in‑place upgrade of Veeam Backup & Replication (VBR) from an earlier build to VBR v13. This was a production instance with no separate test deployment available.
Stay in Installer During VBR 13 Service Timeout. Do not exit the upgrade wizard if VeeamBackupRESTSvc fails to start (error 1053). Else, the error below will be prompted “Failed to Connect to Veeam Backup and Replication”.
Here are some fix from the Veeam Community on this topic “The REST API service is not starting after upgrading Windows VBR to 13.0.1 P2“, “Possible Bug in RTM v13 – API Service Not Starting”, and the following “Reddit Thread“.
In this case, you have to reinstall VBR. This is exactly why having a configuration backup in place is paramount. To fix “Failed to connect to the backup server local host. Make sure it is online and the version is v13 or later”.

Note: All the needed services are running. yet the VBR console cannot be accessed.

Why are we still unable to access the console despite having all services state set to running?
While VeeamBackupSvc etc., went through using the retry button. The Veeam Backup Server Restful API Service did not start. Forced restart via the Services Manager as shown did not restart the service or solve the issue with thr error message “Token request was denied request was performed with the wrong HTTP method”

In Veeam Backup & Replication v13, the REST API is mandatory for console authentication. As a result, the console could not obtain an authentication token and returned a “Failed to connect to the backup server” error. Event log entries indicating that token requests were denied due to an incorrect HTTP method suggest that the REST service was only partially initialized, causing authentication endpoints to be unavailable.
The extended (60s) or the default 30 second service timeout expires before the REST API service initializes fully, especially post-upgrade when PostgreSQL migrates and dependencies load. Event log “Token request was denied request was performed with the wrong HTTP method” appears because incomplete API startup rejects console authentication requests.
Also, see Unveiling OOTBI Mini and New Features for v1.7 from Object First, how to Integrate Active Directory with IPMI for Out-of-Band Management, and Upgrade Veeam Backup and Replication v12.3 to v13 on Windows.
Unable to start services in v13
Veeam Backup & Replication 13 upgrades often fail at the end when VeeamBackupRESTSvc (REST API service) times out starting, blocking dependent services like VeeamBackupSvc and preventing console/web UI access post-reboot.
Note: This issue has been fixed in the latest build (13.0.1.1071) according to Veeam. See the reddit link referenced in the first paragraph for more information and the following Veeam Forum post.



Root Cause
Limited server performance can cause the default 30-second Windows service startup timeout to expire before REST service initializes fully, especially on first boot after upgrade when PostgreSQL and configs load.
A secondary accelerator to this issue could be missing PowerShell 7, but it is not usually the sole root cause. But the Veeam module will only work with PowerShell 7 and Windows PowerShell does not load this modules for your information. Please see Upgrade PowerShell Core Windows or Mac and Linux System.
In this case, do not exit the installer (wizard). Run the command below to extend the service timeout and click Retry. If you exit, the finalization might not be complete and you will not be able to login even when you are able to run all the services manually which is often not recommended in this case.
Extend service timeout (run as Administrator PowerShell):
Set-ItemProperty -Path "HKLM:\SYSTEM\CurrentControlSet\Control" -Name "ServicesPipeTimeout" -Value 60000 -Type DWORD
Confirm setting: Get-ItemProperty -Path “HKLM:\SYSTEM\CurrentControlSet\Control” -Name “ServicesPipeTimeout” shows 60000
Get-ItemProperty -Path "HKLM:\SYSTEM\CurrentControlSet\Control" -Name "ServicesPipeTimeout"

Now, click Retry

When prompted, ensure you perform a retry. Else, you might have to modify the setup by removing all components and perform a reinstallation. This is why, having a configuration backup pulled before the upgrade is important.
Confirm all services running in Services.msc (VeeamBackupRESTSvc, VeeamBackupSvc, Veeam PostgreSQL), then test console connection and web UI on port 9392/443.
Please, see Hyper V Disk allocation: Why Veeam reports full size after Shrinking, and Restore VM to Original location using Veeam Entire VM restore.
Extend service timeout via the Windows Registry
To do this, press Win+R, type regedit, Enter.

Navigate to: HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control. Right-click and then New and then DWORD (32-bit) Value, name it ServicesPipeTimeout

Double-click it, Decimal and then Value data 60000 and press OK

As you can see, we have extended the service timeout value via Windows Registry

Note: If the above does not solve this issue, you might run in to the issue discussed below “Failed to Connect to Veeam Backup and Replication” as VBR becomes unusable and connection is not possible.
If this is the case, proceed below to see how this was resolved.

Please see Inbound connection Error: Failed to Perform Scheduled Replication [Part 2], how to reset Microsoft 365 User Password, and how to license Veeam Enterprise Manager and Add VBR Servers.
The Ultimate Fix “Remove [Uninstall] VBR v13”
We will be using the setup file (ISO image) to do this in a clean way. To proceed, click on setup and click on Modify to proceed as shown below.

Select Veeam Backup and Replication

Click on Remove, and In the components to remove, click on remove as well


Components are being removed

Click on Yes to restart your server

Install Veeam Backup and replication v13
Click on the setup file as shown below and follow the prompts to install VBR v13 on your server. Please see this guide for the standard upgrade guidance(walk‑through) on how to Upgrade Path and In-Place Upgrade for VBR v13 and Known Fixes.

Now, please follow through the installation steps


When complete, click on Finish

Click on Finish to complete the installation of VBR v13.

Please see How to upgrade Windows Admin Center from v2411 to v2511, how to Deploy Veeam Recovery Orchestrator and Agents to VBR and VEM, and how to link an iPhone with Windows PC with Phone Link App.
Connecting to VBR v13 Console
You should not have issues connecting to the console anymore as some of the service timeout issues were resolved before reinstalling VBRv13 once again. Click Yes to trust the server


Click on sign in as a current user

As you can see, we have successfully launched the VBR console. This was the window we could not reach after we successfully performed the “Upgrade for VBR v13” above.
As shown below, the Veeam Backup & Replication (VBR) console is now accessible following the recovery. However, the configuration is currently empty, as no jobs, infrastructure components, or settings have been restored yet. This is the expected state after deploying a clean VBR instance, and it is at this point that the configuration backup becomes critical to repopulate the environment and restore operational continuity.

Restoring Veeam Configuration Backup
Veeam Backup & Replication configuration backups capture your entire backup infrastructure. The jobs, policies, credentials, proxies, repositories, and session history in a single encrypted file.
Losing your backup server to hardware failure, ransomware, or a botched upgrade doesn’t have to mean rebuilding everything from scratch as it was in my case above. Please, see how to restore a Veeam Backup & Replication configuration backup as part of migrating the configuration database.
Before restoring, stop all VBR services to prevent conflicts, else you can do this later as I will show you very shortly. Next, from the Hamburger Menu, click on “Configuration Backup” as shown below.

The Veeam Backup & Replication Configuration Restore process allows you to recover your entire VBR infrastructure configuration after a failure, reinstallation, or database migration by using a previously created configuration backup (.bco) file
Click on Restore

Restore Mode
Select Restore and click on Nex

Choose the right backup repository

The most current backup configuration file will be selected as shown below and click on OK

Below are the backup contents, click Next to proceed.

Enter your configuration backup password and validate

Click on Yes to proceed and then connect as shown below.

On the restore options, click on restore

Restore Option
Kindly exercise patience, currently analyzing VBR installation etc.

If you previously did not stop your services. You can do so now by clicking on Yes. The configurations are being restored. Click next to proceed

I will ignore the check configurations as the issues displayed have been addressed. Please see Unable to Remove Orphaned VHR Repository v2 from VBR v13, and Building VIHR: Ransomware-Proof Repository with Veeam JeOS.
On the credential wizard, click next

On the Cloud credential, click on collect as shown below.

Components Upgrade
You may run into warnings or failure here. Fr me, we are currently unable to automatically upgrade the Proxmox Server with the status “Failed to open deployer service management port”.
Since this is a warning, I will proceed and resolve this afterwards. Also, see How to fix Failed to connect to Deployer Service Error. This error is okay as we used only a single use credential when setting up VHR and VBR as discussed here “How to deploy and integrate VHR with VBR“.

Services are being started. On the Summary window, click on “Finish” as shown below.

As you can see, we have successfully restored our VBR server. Out jobs, polices etc. are in tack.
In case of a Ransomware or Cyber Attack, attackers target backup servers to encrypt configs and delete jobs. Config backups (stored off-server, encrypted) let you nuke the infected server, deploy clean VBR v13 as we have done and, restore to pre-attack state.

The Veeam Backup & Replication (VBR) console is now accessible again. Prior to this, following the attempted upgrade to VBR v13, the console could not be launched due to incomplete service initialization (notably the REST API service).
By leveraging the VBR configuration backup, we were able to restore the server state and regain full console functionality, effectively recovering from the failed upgrade scenario.”
FAQs
No. You should not back up the Veeam Backup & Replication server (or its configuration database) using standard backup jobs within Veeam Backup & Replication. This includes image‑based backups. Those are not supported for protecting the backup server itself.
Use the built‑in Configuration Backup feature. This tool is enabled by default and periodically creates configuration backups (.bco files) of your Veeam Backup & Replication settings.
Store configuration backups in a secure location that won’t be lost if the backup server fails. For instance, on a separate repository rather than on the same server’s C:\ drive.
es. Enabling encryption for the configuration backup makes restores smoother because credentials stored in the Veeam credentials manager are included and restored without requiring you to re‑enter passwords manually.
Rebuild the server (install a new Veeam Backup & Replication server), then perform a Configuration Restore using the previously saved configuration backup to recover all settings.
I hope you found this guide on V13 Upgrade Failure: Veeam Configuration Backup Saved the Day very useful. Please feel free to leave a comment below.