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Cloud Computing · Foundational

Azure Hybrid Benefit

Licensing benefit letting customers use on-premises Windows Server and SQL Server licenses with Software Assurance on Azure.

Definition

Azure Hybrid Benefit reduces costs by applying existing Windows Server or SQL Server licenses with Software Assurance or qualifying subscriptions to Azure VMs and Azure SQL, paying only base compute rates. It also applies to Red Hat Enterprise Linux and SUSE subscriptions and to Azure Local.

Example

A company enables Azure Hybrid Benefit on 100 Windows Server VMs, removing the Windows license charge from the hourly rate.

Exam tip

Combine Azure Hybrid Benefit with reservations for the largest Windows and SQL Server savings.

Related terms