There is a common misconception that Microsoft takes care of everything. Microsoft do take care of a lot and provide a great service but their focus is primarily on managing the Office 365 infrastructure and maintaining uptime for you and all of the other users worldwide.  Office 365 Backup Software
  Microsoft do not fully back-up your data.The backup and recovery that Microsoft provide and what most customers assume they are receiving is often very different in reality. Microsoft Office 365 offers geo redundancy which is not the same as having a backup. Geo redundancy protects against site or hardware failure, so if there is an infrastructure crash or outage, you will be able to remain productive and often will be oblivious to any issues. A backup takes a historical copy of your data and then stores it in another safe location.

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