Microsoft 365 features that help users manage their subscriptions, account settings, and billing information.
Please confirm you if are asking about a 365 Business or 365 "Consumer" (Home/Personal).
What Office/Microsoft 365 "data" are you asking about?.
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If you are asking about files saved in OneDrive / SharePoint, the answer is
Absolutely YES!
The basic "rule":
If you have only 1 copy of a file (anywhere) it is not "backed up" (it is NOT safe!)
applies.
.
Yes, MS makes some backups. But they are mostly for use by MS. I don't have experience with "businesses" asking for help from MS restoring "backups" of files, but for consumers there definitely is NO HELP!
.
And, there is a simple reality that at any time MS automatic censors could lock your account if it sees anything it doesn't like. Trying to recover from that sort of lockdown is a nightmare. MS locks your account, then does nothing to help recover access.