Veeam Error: Unable to allocate processing resources. Error: On-host proxy [ServerName] requires upgrade before it can be used.

We rebooted one of our Hyper-V hosts that has a number of VMs hosted on it.

The Veeam setup was just completed with the VMs set up right after.

The host was having some network difficulties as it turned out that one of the two ports in the host LBFO Management team was plugged into the VM's switch instead of our setup network.

Once corrected and a reboot later and Veeam was throwing an error due to "Server Not Found".

We had set up the backup based on the IP address the server had. Low and behold that address had changed after the reboot.

So, we set up a new Managed Server based on the new IP and updated the Backup Job.

We fired the backup but it failed:

11/2/2018 4:22:55 PM :: Unable to allocate processing resources. Error: On-host proxy [ServerName] requires upgrade before it can be used. 

After some searching on Veeam's forums this post came up: On-host proxy requires upgrade

After reading through the forum thread it was the very last post that got things going for us:

1. Restart Veeam Backup Service
2. Restart Veeam Broker Service
3. Fire the backup
4. Success!

Philip Elder
Microsoft High Availability MVP
MPECS Inc.
Co-Author: SBS 2008 Blueprint Book
www.commodityclusters.com
Our Web Site
Our Cloud Service