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FIDO2 and Passkeys Make MFA Phishing-Resistant in Microsoft 365
Most of the Microsoft 365 accounts compromised in the last 18 months had MFA enabled at the time of the attack.
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Keri LaRue : Updated on April 29, 2026
Most IT teams are stuck choosing between cutting infrastructure costs and maintaining strong security.
Reducing spend usually means accepting more risk. Tightening security usually means spending more. Azure Virtual Desktop (AVD) eliminates that tradeoff. It delivers cloud-hosted desktops on Microsoft Azure with built-in security, flexible pricing, and centralized management. This article breaks down how AVD reduces IT spending and strengthens security at the same time.
AVD replaces traditional desktop infrastructure with a cloud-native model that scales with demand. Instead of maintaining physical servers, storage, and endpoints, organizations shift that workload to Azure and pay only for what they use.
Here is how each cost lever works:
Physical desktop infrastructure requires ongoing investment in servers, storage, networking gear, and endpoint devices. Every server refresh and capacity upgrade adds to that spend.
Azure Virtual Desktop moves all of this to the cloud. There are no capital expenses for hardware procurement, no data center maintenance costs, and no need to over-provision for peak demand.
Azure also lets you right-size virtual machines so you only pay for the compute your users actually need. And with Azure Savings Plans or Reserved Instances, organization can reduce VM costs by up to 72% by committing to a one-or-three year term.
If your organization already has Microsoft 365 E3, E5, or Business Premium, you can access AVD at no extra licensing cost for the desktop environment.
That means there is no need to purchase third-party virtual desktop solutions or duplicate licensing. Your organization only pays for the Azure infrastructure consumed by users.
This is one of the most overlooked cost advantages of AVD. Many organizations already hold the licenses they need and do not realize they can spin up cloud desktops without additional per-user fees.
Compute is the largest cost driver in any AVD environment, often accounting for up to 70% of total spend. Without automation, VMs can run around the clock even when no one is logged in.
AVD includes built-in autoscaling that adjusts the number of active sessions hosts based on real-time user demand. During off-peak hours, idle VMs are automatically shut down. During peak hours, additional hosts spin up to meet demand.
Microsoft also introduced an on-demand start experience that lets Cloud PCs hibernate when users disconnect, further reducing idle costs.
Organizations using autoscaling effectively can cut compute costs by 40 to 60%.
AVD is the only cloud VDI solution that supports Windows 11 multi-session. This allows multiple users to share a virtual machine while maintaining isolated sessions.
Instead of provisioning a dedicated VM for every user, IT teams can consolidate workloads onto fewer machines. This reduces both compute and storage costs without affecting user experience.
For task-based workers, call center teams, or shared workstation environments, multi-session pooling delivers significant savings compared to single-session deployments.
Managing endpoints individually across a distributed workforce is time-consuming and expensive. AVD centralizes desktop management, app delivery, patching, and security policies in a single cloud-based console.
From one pane of glass, IT administrators can:
This lowers the operational burden on IT staff, reduces help desk volume, and ensure consistent performance across all users regardless of location or device.
Security breaches carry direct financial costs and long-term reputational damage. AVD reduces both risk and cost by keeping data off endpoints and within Azure's protected environment.
AVD's reverse connect model prevents inbound RDP exposure, which reduces the attack surface by design.
Additional security features include:
No local data storage on employee devices
These protections are built into the platform. There is no need for expensive third-party add-ons to meet enterprise security and compliance requirements.
Allowing employees to use personal devices can cut hardware costs, but it often introduces security gaps. AVD solves this by delivering virtualized, isolated workspace that runs entirely in Azure.
Employees can access their full desktop environment from any device, anywhere. Corporate data never touches the local machine. IT maintains full control over the session, while the business saves on endpoint provisioning, imaging, and support.
AVD replaces on-premises desktop infrastructure with a cloud-native, pay-as-you-go model on Microsoft Azure. You avoid large upfront costs for servers, storage and networking gear. Instead, you right-size VMs and only pay for what you use. With autoscaling and idle VMs shutting down automatically, organizations can cut compute costs by 40 to 60%.
With those licenses, you can use AVD at no extra licensing cost for the desktop environment. Your organization only pays for the Azure infrastructure your users consume. You can further reduce costs with Azure Savings Plan or Reserved Instances, which offer discounts of up to 72% on compute.
Compute is the largest AVD expense, often making up 70% of total costs. AVD's built-in autoscaling monitors user demand and adjusts the number of active session hosts in real time. VMs power down during off-peak hours and scale up during busy periods. Microsoft also offers an on-demand hibernate feature that suspends idle Cloud PCs to save on compute.
AVD keeps data off endpoints and within Azure's protected environment. Its reverse connect model blocks inbound RDP exposure by design. Key security features include integration with Microsoft Defender for Endpoint, conditional access and MFA through Microsoft Entra ID, data encryption in transit and at rest, and TLS 1.2 for all session traffic. Employees can work from any device without corporate data touching their local machine.
Sourcepass MCOE specializes in Microsoft licensing, deployment, and AVD optimization for U.S.-based organizations. We help you right-size Azure resources, implement autoscaling, align licensing to avoid redundancy, and put security best practices in place so your AVD environment is cost-efficient from day one.
Azure Virtual Desktop is more than a remote desktop tool. It is a cost optimization and risk reduction strategy that helps organizations:
Our team specializes in Microsoft licensing, deployment, and AVD optimization for U.S.-based organizations. Whether you need help right-sizing your Azure environment, aligning your licensing, or deploying autoscaling to cut waste, we can help you get more from your Microsoft investment without compromising security.
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