Windows 365 vs. Azure Virtual Desktop: Which Makes More Sense?

In recent years, remote and hybrid workplaces have received a notable uptick. Recent statistics shared by Remote.com in its 2024 Global Workforce Report indicate that 87% of global employers are filling “every four out of 10 roles” with employees not from their local area. Furthermore, 65% of employers have gotten a “spike in requests” from employees to receive flexible work arrangements.

With the demand for remote work surging, it’s clear if businesses want to attract and retain top talent, going forward, they’ll need to embrace the continuation of remote work in some type of capacity (e.g. full-time, part-time, or hybrid). To accomplish this, they’ll need to provide user-friendly and secure ways for their employees to successfully perform their jobs virtually while maintaining a strong security posture.

This means employers will have to accommodate a growing need for virtual desktop infrastructure (VDI) to support their organization’s remote and hybrid work environments. Windows 365 and Azure Virtual Desktop are two Microsoft solutions that cater to remote/hybrid workers.

In this article, we’ll take a closer look at what each product is and contrast the benefits and drawbacks of each.

What is Windows 365?

Windows 365 is a desktop as a service (DaaS) cloud PC solution offering businesses a simple, user-centric experience with fixed pricing and limited customization options. Microsoft has designed this solution so users can enjoy flexibility as they run their traditional desktop operating system in the cloud.

Each user is essentially assigned their own “Cloud PC”. Rather than run their operating systems (OS) locally, users will log in and data is transferred over the internet through Microsoft’s Windows servers rather than over a business’s internal network.

Much like a traditional Windows OS product, Windows 365 is available in multiple versions, including Windows 365 Enterprise, Windows 365 Business, Windows 365 Government and Windows 365 Frontline. The big difference is it is compatible with Windows, Mac, Android and iOS. This means users can log into their desktops from anywhere using both PC and non-PC hardware.

What is Azure Virtual Desktop (AVD)?

Azure Virtual Desktop (AVD) is a flexible, scalable VDI solution on Microsoft’s Azure platform, offering businesses a pay-as-you-go model with high customization options. In its former incarnation, AVD was marketed as Windows Virtual Desktop (WVD).

AVD is a cloud solution running through installed virtual machines. As a 100% pure cloud solution, users do not need to obtain a product installation on a local machine to run it. Enterprises often prefer this solution because, unlike some other VDI solutions, they do not need to maintain dedicated, on-premises servers. Instead, businesses are able to deliver a modern, easy-to-use virtual experience for their users, along with a highly secure virtual desktop experience to protect their digital assets.

AVD operates on the tech giant’s robust Azure platform, which takes the pressure off internal IT operations. To leverage AVD, businesses can use any of the following: Windows 11 multi-session, Windows 11 single-session, Windows 10 multi-session, Windows 10 single-session and single-session Windows 7. Your enterprise can also run AVD on Windows Server 2012 R2, Windows Server 2016, Windows Server 2019 and Windows Server 2022.

Contrasting Windows 365 vs Azure Virtual Desktop

Before making a decision, you should explore pricing structures, customization and flexibility, security and compliance and user management and experience. Let’s take a closer look.

Pricing Models

Windows 365 offers fixed per-user pricing while AVD uses a consumption-based pricing model. Here, we’ll contrast the two to help you evaluate the better option for your company.

To run Windows 365, businesses will pay a flat monthly rate per user; it is not based on the amount of user activity. Prices range from a basic plan which is roughly $28 per user, per month, up to the most robust plan at approximately $315 per month. A slight discount is offered for businesses running Windows 365 from a Windows device.

Licensing is a requirement to run AVD, just like when working from traditional Windows on a physical PC; each user will need an individual license. However, since many enterprise employees already have a Microsoft license for Windows, Microsoft 365, or another eligible MS product, they can leverage this to streamline costs. There are few upfront costs with AVD, and it’s a monthly subscription, meaning businesses can scale up or down as needed to further increase cost-efficiency and consolidate resources.

When exploring what option is more feasible, small and medium-sized businesses would likely benefit more from the Windows 365 pricing structure since there are fewer users. Enterprises might find this cost-prohibitive because they have so many users and many of them may not get their “full money’s worth” if they aren’t as active, since the price is the same, regardless of usage level.

Customization and Flexibility

AVD is highly flexible in Virtual Machine configurations and deployment options, whereas Windows 365 offers a more simplified, “plug-and-play” approach.

As a user-centric product, Windows 365 provides users with a consistent Windows experience regardless of the device they are using. However, Windows 365 does have limitations when it comes to customization, especially when contrasted with AVD.

AVD offers a higher degree of flexibility since users can better establish the configurations they prefer on their virtual desktops, along with network settings, but it does require more technical know-how to establish preferred customization options.

Security and Compliance

Both Windows 365 and Azure Virtual Desktop offer security features, including identity and access management options, to help businesses comply with data protection regulations.

The compliance features included in Windows 365 are pretty streamlined since they are built into the product with no need to configure them. Microsoft basically handles the configuration aspect of security too, handling updates as well.

AVD offers strong compliance features but typically needs extra setup and management to get to the level it needs to be. This solution also empowers IT administrators to customize security settings at an in-depth level, so the business can achieve the level of security it seeks. This includes network settings and user permissions.

You’ll want to carefully consider your business’s requirements for security and compliance when choosing which virtual desktop product to invest in and evaluate the specifics of each. Red River’s team of experts can help you evaluate your needs, requirements and preferences to help select the right solution.

User Experience and Management

When it comes to simplicity, Windows 365 wins, hands down, especially since users do not need a high level of technical knowledge, experience, or expertise to operate this virtual desktop solution. However, while user experience and management is simplified, the primary drawback businesses must weigh alongside this ease of use is its lack of customization abilities. Many enterprises like to be able to customize to better suit their large group of users.

AVD offers a streamlined virtual desktop product that is easily integrated with the Azure ecosystem and other Microsoft products. When it comes to user experience and management, it is more complex than Windows 365, but it is generally considered to be simpler, intuitive, more streamlined and offers more robust management tools and customization options, making it an appealing option for businesses operating on a larger scale than small and medium-sized businesses.

Windows 365 vs Azure Virtual Desktop: Which is Best?

When it comes to investing in virtual desktop infrastructure options, there is no one-size-fits-all product. Businesses of all sizes should examine their current needs, wants and requirements and weigh out the pros and cons of each virtual desktop solution to help facilitate their employees who are working in the cloud.

Small and medium-sized businesses often turn to Windows 365 to support their remote and hybrid teams. This is because SMBs tend to have more predictable user needs, along with their teams requiring straightforward access to cloud PCs without heavy IT management.

Enterprise-level companies often decide to select to invest in Azure Virtual Desktop. The reason is that it provides companies with the dynamic scalability needs they seek, lets them control the level and type of security they need and gives them the ability to perform advanced app integration and enjoy flexible resource allocation.

In a nutshell, your organization probably wants to look more into:

• Windows 365 if you seek a seamless user experience and do not have the IT knowledge or resources to establish an initial setup, along with setting up cybersecurity protocols for your virtual desktops. This product is easy for organizations to manage while offering a very user-friendly interface.
• Azure Virtual Desktop if your organization has the IT knowledge and experience to handle the customization, initial setup and maintenance involved. AVD is also good for organizations preferring stronger control over their security settings, along with maintaining a higher level of ability to customize how your environment will look and perform.

With that being said, working with an expert partner, such as Red River, can help you decide. Our expert team can assess your current architecture, evaluate your overall needs and requirements, discuss the level of in-house experience you have and consider any flexibility or restrictions in your IT budget. Whether you need help choosing, installing, or managing a virtual desktop solution, Red River can assist at the level of help you need.

Summary

As remote and hybrid workplaces continue to become more normalized, it is clear businesses of all sizes need to adapt to virtual work environments. In some cases, if they want to retain their best employees, businesses might need to pivot to accommodate the flexibility in work options they seek.

If statistics and trends are any indicator, it is clear employees want flexibility. This gives businesses an advantage too, because they can tap into a bigger net of potential employees to hire to fill their roles and any gaps they cannot fill locally.

Forbes further elaborated in an October 2024 report on the findings from Remote.com in the aforementioned 2024 Global Workforce Report. The Forbes article highlights that 67% of U.S. employers have lost good employees to competitors offering more flexibility in work structures. Furthermore, 73% of employers globally (from their study sample of 10 countries) are also losing their talent for the same reasons.

If one thing is certain, remote work over the past five years has increased dramatically. Businesses will need to adapt if they want to gain or maintain a competitive advantage by hiring top talent. To help them achieve this, they will want to invest in the right virtual desktop infrastructure strategies to help facilitate their workers and help them achieve efficiency, convenience and productivity.

A strong benefit to this is, that with the array of virtual desk solutions available, businesses can provide them with the tools they need while securing their own technology infrastructures with the level of protection they desire.

Are You Ready to Embrace Virtual Desktop Solutions? Red River Can Help.

After examining your options and determining whether Windows 365, Azure Virtual Desktop, or another solution will fulfill your organization’s needs, the experienced team at Red River can help you integrate a solution into your current technology stack and do so with cost-efficiency in mind, so you do not go over your budget.

If you are unsure which product best meets your needs, Red River’s team can also help there. We can audit your current systems, evaluate the number of employees needing remote access and help your organization evaluate its requirements. Once we have gathered all the pertinent information, we assist in recommending the right cloud product. Lastly, we’ll help you install your solution and, if needed, provide ongoing support.

To learn more about how Red River can help modernize your infrastructure and provide your users with an optimal remote experience, contact us today. We’re happy to discuss your options and answer any questions you have about cloud solutions or other technology needs.