The Microsoft Azure Hybrid Benefit for Windows Server (formerly Windows Server Azure Hybrid Use Benefit) has been around for some time now. It was announced in late 2017 that this benefit would be extended to SQL Server – and we now have details!
The Microsoft Azure Hybrid Benefit for SQL Server allows appropriately licensed organizations to offset some of their Azure SQL costs using on-premises licenses.
You won’t be charged for the use of the included Azure Data Services, but you will still need to pay for other associated costs such as compute, storage, backup and input/output (I/O).
Qualified License | Azure Data Service | License to vCore ratio |
SQL Server Enterprise (Core) | General Purpose Managed Instance | 1 Core license:4 vCores |
Business Critical Managed Instance | 1 Core license:1 vCore | |
Azure Data Factory SQL Server Integration Services (Standard) | 1 Core license:1 vCore | |
SQL Server Enterprise Virtual Machines | 1 Core license1:1 vCore | |
SQL Server Standard (Core) | General Purpose Managed Instance | 1 Core license:1 vCore |
Azure Data Factory SQL Server Integration Services (Standard) | 1 Core license:1 vCore | |
SQL Server Standard Virtual Machines | 1 Core license1:1 vCore |
1Subject to a minimum of 4 core licenses per virtual machine
Licenses assigned to Azure services cannot also be used elsewhere – apart from a one-time, 180-day (max.) exception to allow the migration of services to Azure.
Running a passive fail-over instance within Azure is permitted for licenses assigned under this benefit, up to the same number of licenses as the live instance.
Page 51 of the March 2018 Microsoft Product Terms
Our LISA (Licensing, ITAM and SAM Academy) online training platform will be updated with a new module to reflect this ASAP. For more info, check out and for a free trial