What is Azure Hybrid Benefit?

June 13, 2023

It is a licensing advantage that we at BeSharp Experts would like to discuss, as it allows you to do more with less cost. With Azure Hybrid Benefit, you can reduce the expenses of running your workloads in the cloud by utilizing your existing on-premises licenses for Windows Server and SQL Server on Azure. The best part is that this benefit also applies to Red Hat and SUSE Linux subscriptions.

Which licenses are eligible for Azure Hybrid Benefit?

If you have active Software Assurance or qualifying subscription licenses, then you can take advantage of Azure Hybrid Benefit. This includes licenses such as Windows Server Datacenter Edition with Software Assurance or qualifying subscription licenses, as well as SQL Server Enterprise Edition core licenses with Software Assurance or qualifying subscription licenses. If you don’t have Software Assurance, you can acquire it with new licenses or with eligible subscription licenses.

What are the benefits of Azure Hybrid Benefit for Windows Server on Azure Virtual Machines?

With Azure Hybrid Benefit, you can maximize the benefits of your Windows Server licenses. Each set of 8-core licenses, available in Datacenter or Standard editions, entitles you to one virtual server with up to 8 cores. Datacenter Edition licenses allow simultaneous use in both Azure and on-premises environments, while Standard Edition licenses are limited to on-premises or Azure usage. During the server migration to Azure, you even have 180 days of simultaneous use rights for your licenses.

How can I take advantage of Azure Hybrid Benefit for Windows Server on an Azure Dedicated Host?

You can utilize this benefit in three ways. For Windows Server Standard Edition, you can assign licenses with active Software Assurance to individual virtual servers on the dedicated host. For Windows Server Datacenter Edition, you can assign these licenses to virtual machines on the dedicated host, enabling simultaneous use in Azure and on-premises. Additionally, if you have licenses for Windows Server Datacenter Edition at the host level, you can assign them to all physical cores on the host, providing unlimited virtualization rights. During the server migration to Azure, you will have 180 days of simultaneous use with your on-premises licenses.

What does Azure Hybrid Benefit for SQL Server include?

With Azure Hybrid Benefit, you can use your SQL Server licenses with Software Assurance or qualifying subscription licenses for various Azure services, including Azure SQL Database, Azure SQL Managed Instance, SQL Server on Azure Virtual Machines, and SQL Server Integration Services. Furthermore, Azure Hybrid Benefit allows you to move your licenses to a fully managed PaaS (Platform-as-a-Service) product, which is unique to Azure. You can even benefit from 180 days of dual-use rights, applicable to both your current deployment (on-premises or third-party cloud) and Azure, facilitating smooth data migration to the cloud.

What is the virtualization benefit, and does Azure Hybrid Benefit for SQL Server offer this advantage?

The virtualization benefit available with Azure Hybrid Benefit for SQL Server can be utilized for highly virtualized workloads on-premises. This benefit is specifically available for Azure SQL Database (General and Hyperscale service tiers, excluding Serverless), Azure SQL Managed Instance (General service tier), SQL Server Standard Virtual Machines, Azure Data Factory, and SQL Server Integration Services (Standard). It allows you to convert one core of SQL Server Enterprise Edition with active Software Assurance into up to four vCores or vCPUs. For example, if you have four SQL Enterprise Edition core licenses, you can obtain up to sixteen vCores for the General service tier of SQL Database, making it highly cost-effective to migrate virtualized applications.

What does Azure Hybrid Benefit for SQL Server in Azure Dedicated Host include?

If you qualify for Azure Hybrid Benefit, you can apply it to an Azure Dedicated Host under the same terms as individual virtual machines. Additionally, if you have Software Assurance with SQL Server Enterprise Edition and a host-level license for Azure Dedicated Host, you will have unlimited virtualization rights. During the migration of existing workloads to an Azure Dedicated Host, you will also benefit from 180 days of simultaneous use with your on-premises licenses and Azure.

Understanding and leveraging Azure Hybrid Benefit can result in significant cost savings for your organization while optimizing your workloads. If you would like to learn more about how to apply this benefit to your specific situation, please don’t hesitate to contact us at BeSharp Experts. Our team is ready to guide you and help you take full advantage of Azure Hybrid Benefit.