What is Microsoft Azure AD not?

Microsoft Azure AD is not the same as deploying your on-premises AD domain controllers to Microsoft Azure. However, it is possible to convert an Azure AD into domain controllers  running on Azure in a simple step. This is not necessary for Office 365 though.

It is possible to have your AD running on Azure Virtual Machines (VMs), and it is advised that you deploy the whole environment in a central and high-availability environment.

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