AVD Hybrid

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Azure Virtual Desktop Hybrid: a new level of sovereignty for your virtual workspaces

Today, migrating entirely to the cloud isn’t always the right choice. Compliance requirements, data sovereignty, latency-sensitive applications, and existing infrastructure all play a decisive role in that decision. But with Azure Virtual Desktop Hybrid, Microsoft explicitly responds to that complex reality. This solution allows you to run virtual Windows desktops locally, keeping management, identity, and security centered in Azure. Curious about what that means for your IT strategy?

Tue, 5 May 2026

Dieter Kempeneers

Modern Workplace Architect, Arxus

What is Azure Virtual Desktop Hybrid?

Azure Virtual Desktop is Microsoft’s cloud-based Virtual Desktop Infrastructure (VDI) service, which allows users to access a full Windows desktop from Azure. Until now, AVD session hosts ran either entirely in Azure or within a dedicated on-premises Azure environment with specific hardware requirements.

With AVD Hybrid, this model is expanded. Organizations can use their existing on-premises servers as AVD session hosts, as long as they are connected to Azure via Azure Arc. This can include environments running on Hyper-V, VMware vSphere, Nutanix AHV, physical Windows Servers, or other infrastructure where Arc-enabled servers are running.

The heart of this technology? Simple, yet powerful: Azure provides the central control plane for brokering, identity, access, and policies; the workload itself – sessions, rendering, and application data – runs locally. As a result, you get a new deployment model in which local infrastructure is a fully integrated part of Azure Virtual Desktop, without having to move everything to the cloud.

What impact does it have on your IT strategy?

AVD Hybrid is not a niche solution. It has the potential to fundamentally transform the IT strategy of a wide range of organizations.

No need for new infrastructure

Existing servers and hypervisors remain relevant. You don’t need to purchase new infrastructure to get started with AVD Hybrid. This lowers the barrier to entry and protects your previous investments.

Smoother migration of legacy VDI

For organizations currently using traditional VDI platforms, AVD Hybrid reduces the burden of migration. You can make the switch gradually, without having to completely overhaul your infrastructure first.

One platform, loads of flexibility

Workloads can remain on-premises for as long as necessary, and then move to Azure when the timing and context are right. The management interface remains unchanged, giving you the strategic flexibility to migrate at your own pace.

Centralized control of your hybrid environment

Centralized management, Microsoft Entra integration, and Azure Policy/monitoring apply to all AVD resources – cloud, edge, or on-premises. This simplifies audits and significantly reduces your operational overhead.

Better performance for your applications

Local session hosts reduce latency and jitter. This makes a big difference in production environments, healthcare facilities, remote locations, or when handling graphics-intensive workloads – without sacrificing centralized control.

Data sovereignty: the key benefit of AVD Hybrid

Regulations surrounding data usage and information flows are becoming stricter. Organizations must be able to demonstrate where their data is located, who has access to it, and which legal framework governs it. These requirements apply particularly to government agencies, healthcare providers, and financial institutions. A fully cloud-based model does not always make this easy, especially when sensitive data or applications are subject to specific national or European laws.

AVD Hybrid provides a clear answer: by keeping session hosts and application data on-premises, sensitive information remains within your own data center or jurisdiction. At the same time, you leverage the power of Azure for identity, access management, and governance.

The result? A hybrid architecture that is both technically and legally valid. By combining local control with cloud-based management, AVD Hybrid gives organizations exactly what they need today:

flexibility without haste,
compliance without complexity,
and cost efficiency without performance loss.

Looking for a sovereign VDI solution?

We’d be happy to explore how AVD Hybrid can add value to your business. Feel free to contact our experts for an introductory meeting, no strings attached.

Contact our VDI specialists about AVD Hybrid | Arxus

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