Windows server backup fails after applying SharePoint 2010 Service Pack 1
So it looks like any SharePoint 2010 patches that are going to be installed are going to need a command to run every time. Below is what is needed to do.
1. Change directory to C:\Program Files\Common Files\Microsoft Shared\Web Server Extensions\14\BIN
2. Run PSConfig.exe -cmd upgrade -inplace b2b -force -cmd applicationcontent -install -cmd installfeatures
After running this windows backup works again.