BackupChain performs fast incremental backups to external hard drives, network drives, and FTP. The built-in FTP server permits receiving backup files from another computer. To meet the needs of IT professionals, BackupChain contains specialized proprietary backup technology to handle millions of files and so-called "in-file deltas". Delta compression is ideal for very large files, such as database and virtual machine files, because only file changes are stored rather than the entire file. Using delta compression, BackupChain significantly reduces bandwidth and storage requirements.