Based on the wording, it’s the Dell settings.
Veeam BP states that Veeam’s categories are “integrated” and “non-integrated”, interestingly it defaults to dedupe-friendly which breaks our documentation stalemate! But further to this, KB1745 is general dedupe appliance best practices. Veeam specifically state to check vendor documentation, which should supersede Veeam’s guidance in the KB.
If in doubt and you have the time, raise a case with both Dell & Veeam, I would go for the Dell settings otherwise, will save you the painful troubleshooting with Dell if you need to raise a case with them!
BP Article Link:
https://bp.veeam.com/vbr/3_Build_structures/B_Veeam_Components/B_backup_repositories/deduplication.html
KB1745 does mention specific settings for specific dedupe appliances (eg. for backup chains) but it does go generic for the compression settings. I forgot about the BP document (which I had read but not linked to my documentation). Winner is none/dedup-friendly compression. Thanks!
I seem to recall, I think in the VMCE classes, that if you’re using a deduplicating device, you should allow the device to do all of the work. Failure to do so can result in less than optimal dedupe and compression, and as I recall, can also cause some performance issues. I agree, I’d go with Dell here (or HPE/Quantum, etc when using their devices).