The adaptive cloud approach unifies siloed teams, distributed sites, and sprawling systems into a single operations, security, and governance model—enabling organizations to use cloud-native and AI technologies to work simultaneously across hybrid, multicloud, edge, and IoT with Azure Arc as the enabling technology to make this happen. Azure Arc also allows for Pay-as-you-go (PAYG) subscription licensing as an alternative to the conventional perpetual licensing for Windows Server 2025 and SQL Server. With Pay-as-you-go, you can deploy a Windows Server device, license it, and pay for only as much as you use. This feature is facilitated through Azure Arc and billed via your Azure subscription. You have the flexibility to turn off Pay-as-you-go whenever necessary.