Azure Arc enables institutions to simplify server management, improve governance, and modernize operations while continuing to run workloads where they make the most sense.
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By extending Azure management capabilities to on-premises, edge, and multi-cloud environments, Azure Arc provides a centralized approach to managing existing infrastructure. There are three key components to consider when evaluating Azure Arc:
1. Azure Arc Core Functionality
The Azure Arc control plane is available at no additional cost and provides a centralized management layer for servers running on-premises, at the edge, or in other cloud environments. Core capabilities include:
- Inventory and visibility of Arc-enabled servers
- Resource organization using subscriptions, resource groups, and tags
- Azure Resource Graph for searching and reporting across managed resources
- Server onboarding and lifecycle management
- Remote management capabilities, including SSH for Arc-enabled servers, Run Command, and Custom Script Extensions
- Integration with Azure role-based access control (RBAC) and governance capabilities
These core management capabilities do not incur Azure Arc licensing charges.
2. Azure Services Enabled Through Arc
Azure Arc serves as the management platform that allows Azure services to be extended to on-premises and multi-cloud servers. Costs are incurred only when optional Azure services are enabled on Arc-managed resources. (azure.microsoft.com) Common examples include:
- Microsoft Defender for Cloud
- Azure Monitor and Log Analytics
- Microsoft Sentinel
- Azure Policy and Machine Configuration
- Azure Update Manager (when not covered through licensing benefits)
- Extended Security Updates (ESU)
- Windows Server Pay-As-You-Go licensing
- Arc-enabled SQL Server and Azure Arc-enabled data services
These services are billed separately through Azure consumption based on usage and the services enabled. Learn more: https://azure.microsoft.com/en-us/pricing/details/azure-arc/core-control-plane/
3. Additional Windows Server Benefits
Microsoft recently introduced Windows Server Management enabled by Azure Arc, which provides additional management capabilities for Windows Server environments. For institutions licensing Windows Server through an Enrollment for Education Solutions (EES) agreement with Software Assurance, Azure Arc can provide capabilities including:
- Azure Update Manager
- Change Tracking and Inventory
- Azure Machine Configuration
- Windows Admin Center for Arc-enabled servers
Learn more: https://learn.microsoft.com/en-us/azure/azure-arc/servers/windows-server-management-overview
Typical Higher Education Deployment Example
A common deployment model includes:
- Windows Server and SQL Server licensed through EES Agreement.
- Azure Tenant and Subscription through EES Agreement
- Servers connected to Azure Arc.
- Centralized management and governance through Azure Arc.
- Optional Azure services enabled as needed and billed through the institution’s Azure subscription.
Getting Started
The first step to ensure your institution has an active Azure tenant and Azure subscription associated with your EES agreement. ScholarBuys can help your institution:
- Establish an Azure subscription through your EES Agreement
- Review Azure Arc licensing eligibility

