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Windows 10 Licensing on Cloud

You probably know that, until recently, the Microsoft license did not permit you to run a Windows Client OS on cloud infrastructure. This has now changed. The exact license terms are difficult to find, and the cases where the changes could make a difference are limited. Here is a summary.

The clause that restricts you is the one that permits you to run a virtualised copy of Windows only "on (a) device(s)dedicated to Customer’s use". Here is the relevant document: Licensing Windows Desktop OS for Virtual Machines.

The key parts of this are:

To state the obvious, this means no Windows 10 in Azure or AWS running on shared infrastructure. Under these terms, for example, you cannot use Azure to provide a DR facility for enterprise desktops.

In May 2016 a Microsoft blog said that Windows 10 would be coming to Azure through a partnership with Citrix, using XenDesktop: Microsoft and Citrix Partner to Help Customers Move to the Cloud. This was picked up widely in the press. The Citrix offer was announced in April 2017: Citrix XenDesktop Essentials for Azure.

On the face of it this is a significant change. Yes, it has a minimum requirement of 25 users, but still it is:

The curious thing about this is that there is no corresponding announcement from Microsoft, and no apparent change in Windows 10 licensing. So what exactly has changed?

So the change is that, provided you have an Enterprise Agreement, and use XenDesktop Essentials with a minimum of 25 accounts, you do not need to use explicitly dedicated hardware.

Separately, in May 2017 Microsoft introduced a new offer: Azure Hybrid Use Benefit for Windows Server and Windows Client. This is not explicitly related to the Citrix XenDesktop Essentials offer. It allows customers to upload a Windows 10 Enterprise image to Azure, but "Only Enterprise customers with Windows 10 Enterprise E3/E5 per user or Windows VDA per user… are eligible".

You can already run a Windows desktop in Amazon Web Services (AWS). Here the licensing terms are more straightforward:

So in summary:

  1. You can already run a virtual desktop (a real dedicated desktop, not a session) using a Windows Server OS on Azure or AWS without restriction
  2. You can already run a virtual desktop using your own Windows client licenses on any dedicated hardware, if you have VDA Rights through Software Assurance or a VDA Subscription.
  3. As a special case of 2) above, you can already do this on AWS with a minimum of 200 desktops
  4. You can now (2017) run a virtual desktop with your own Windows client licenses in Azure, if you have a Microsoft Enterprise agreement.

To use a virtual desktop on any scale you will still need the surrounding infrastructure: a machine composer; a broker; and a client. XenDesktop Essentials provides a way of obtaining these on a monthly rental, compared to the normal annual subscription or perpetual license.

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