Windows 365 Business explained: the Cloud PC for small businesses

What is Windows 365 Business? Windows 365 Business is a subscription from Microsoft for a Cloud PC: a complete Windows computer that runs in Microsoft’s data center and whose screen is streamed to any device. Each user receives a Cloud PC of their own with a fixed configuration and pays a fixed amount per month for it. The Business variant is intended for organizations with up to 300 users, requires no other licenses and needs no IT infrastructure of your own. In return, it lacks the management features of the Enterprise variant.

Quick decision

Your situation Recommendation
Employees work from changing or personal devices and need the same workplace everywhere Windows 365 Business fits
External or temporary staff need a company PC for a few months Windows 365 Business fits; the Cloud PC is created when the license is assigned
Fixed workplace in the office, one device per person a normal PC with Windows 11 Pro is enough
You want to control policies, custom images and monitoring centrally Windows 365 Enterprise
More than 300 users Windows 365 Enterprise
Several people are to share one server desktop your own terminal server with Remote Desktop Services

How a Cloud PC works

A Cloud PC is a virtual machine with Windows 10 or 11 that the Windows 365 service provides. Programs, files and settings are in the cloud, not on the device in front of you. You connect through the site windows365.microsoft.com in the browser, through Windows App or through the Remote Desktop client. From each of these devices you work on the same Windows desktop.

In Windows 365 Business, each Cloud PC belongs to exactly one person. The Cloud PC is created automatically as soon as an administrator assigns a license to the user in the Microsoft 365 admin center. Nothing is set up manually.

Sizes

Microsoft offers Cloud PCs in fixed tiers of processor cores (vCPU), memory and storage. Microsoft’s recommendations:

Configuration Intended for Recommended apps according to Microsoft
2 vCPU, 4 GB RAM, 64 to 256 GB call center, customer service, training, seasonal staff Microsoft 365 Apps, Teams (audio only), OneDrive, Edge, line-of-business applications
2 vCPU, 8 GB RAM, 128 or 256 GB working from home, bring your own device, consulting Microsoft 365 Apps, Teams, Outlook, Excel, Access, PowerPoint, line-of-business applications
4 vCPU, 16 GB RAM, 128 to 512 GB finance, consulting, healthcare additionally Power BI and Dynamics 365
8 vCPU, 32 GB RAM, 128 to 512 GB software development, engineering, media additionally Visual Studio Code, Hyper-V, Windows Subsystem for Linux

Which tiers can currently be booked in the Business variant is shown in Microsoft’s plan overview. If the performance is not enough, a Cloud PC can be changed to a larger tier.

Microsoft’s plan overview lists the Microsoft 365 Apps, i.e. Word, Excel and Outlook, as supported, not as included. The license for them is added separately.

Data transfer

For outbound data, Windows 365 Business has a monthly allowance that depends on the memory of the Cloud PC:

Memory of the Cloud PC Outbound data per month
2 GB 12 GB
4 GB or 8 GB 20 GB
16 GB 40 GB
32 GB 70 GB

If the allowance is exceeded, Microsoft can throttle the bandwidth.

Business or Enterprise

Feature Windows 365 Business Windows 365 Enterprise
Size up to 300 users per tenant unlimited
Required licenses none per user Windows 10 or 11 Enterprise, Microsoft Intune and Microsoft Entra ID P1
Purchase directly on the web, self-service purchase, partner (CSP) directly on the web, Enterprise Agreement, partner (CSP)
Provisioning automatic with a default image configurable, custom images possible
Directory integration Microsoft Entra join without a virtual network of your own also with your own virtual network and hybrid
Policies not supported Group Policy and Intune
Software distribution only with an additional Intune license supported
Monitoring and reports not supported Endpoint analytics, health status reports
Security baselines not supported through Intune
Universal Print not supported supported
Conditional Access only with Entra ID P1 through Intune or Entra ID
User role standard user; local administrator rights can be set standard user; can be changed in the Intune admin center
Support requests through the Microsoft 365 admin center through Intune and the Microsoft 365 admin center

In short: Business is a ready-configured PC for rent. Enterprise is a building block for a centrally managed environment and requires the matching licenses and knowledge.

Backup and restore

Windows 365 Business creates restore points automatically: a short-term one every 12 hours, of which 10 are kept, and a long-term one every seven days, of which 4 are kept. Users can restore their Cloud PC to one of these points themselves; administrators can do it for them.

A restore resets the whole Cloud PC. Everything that has been saved or installed since the selected point in time is lost; data in cloud services such as OneDrive is retained. For important files, the feature therefore does not replace a backup of your own.

Which devices you can connect from

Device Access
Windows PC Windows App, Remote Desktop client or browser
Mac, iPhone, iPad, Android apps from Microsoft or browser
Linux web client at windows365.microsoft.com or third-party clients

For the Remote Desktop client on Windows, Microsoft states as the minimum configuration a 1 GHz processor, 1024 MB of memory and 100 MB of hard disk space. If you use Teams on the Cloud PC, the requirements rise to two cores with 1.6 GHz and 4096 MB of memory. An older notebook is therefore enough as an access device.

Typical cases

Tax consultancy with 6 people, two work from home on some days. For the two with a changing place of work, a Cloud PC with 2 vCPU and 8 GB is a clean solution: the data stays in the Cloud PC, and the personal device is only screen and keyboard. The four in the office continue to work on normal PCs.

Agency with changing freelancers. Instead of shipping notebooks, you assign a license for the duration of the project and remove it again afterwards.

Trade business with 3 office PCs. Everyone works at a fixed desk. A Cloud PC would bring ongoing costs without added value. A PC with Windows 11 Pro is the suitable choice here; the differences between the editions are shown in
Windows 11 Home or Pro.

Developer temporarily needs a lot of performance. According to Microsoft, the tier with 8 vCPU and 32 GB is suitable for software development. On a Cloud PC, Visual Studio 2026 requires at least 2 vCPU and 8 GB; 4 vCPU and 16 GB are recommended.

Differentiation: Cloud PC, your own PC, terminal server

Solution Who owns the hardware Licensing model Fits when
Windows 365 Business Microsoft subscription per user and month location-independent work, little IT of your own
PC with Windows 11 Pro you one-time license per device fixed workplace
Terminal server with Remote Desktop Services you Windows Server, CALs and RDS CALs many users share central applications

Licensing your own terminal server is explained in the guide
RDS CAL: licensing Remote Desktop. When a subscription and when a one-time purchase is cheaper is covered in
One-time purchase or subscription.

At VivaKeys

Windows 365 Business is a subscription that is assigned to a user in a Microsoft 365 tenant. Whether and in which configuration we currently offer it is shown in the
Windows 365 category. For fixed workplaces you will find Windows 11 in the
Windows 11 category. We answer questions about the suitable solution before you order. If you are planning servers in addition to the workplaces, you will find the overview of server applications in the guide
Licensing SQL Server: per core or server + CAL.

Frequently asked questions

What is the difference between Windows 365 Business and Microsoft 365 Business? Windows 365 is a Cloud PC, i.e. a rented Windows computer. Microsoft 365 is the package of Office programs and online services. The Office programs are not included in Windows 365.

Do I need a Windows license for Windows 365 Business? No. Microsoft lists no required licenses for the Business variant. For the Enterprise variant, each user needs Windows 10 or 11 Enterprise, Intune and Entra ID P1.

How many users are possible with Windows 365 Business? At most 300 per tenant.

Can I use Windows 365 Business as a private individual? Microsoft currently does not offer Windows 365 to private individuals. It is aimed at organizations.

Can I install my own programs on the Cloud PC? Yes, with local administrator rights. By default, every user is a standard user; an administrator can extend the rights per user or as a default for new Cloud PCs.

How do I restore a Cloud PC? Sign in at windows365.microsoft.com, open the gear icon and select Restore. You can choose from 10 short-term points at 12-hour intervals and 4 weekly ones. Everything since the selected point is lost in the process.

Does a Cloud PC work without internet? No. The Cloud PC runs in the data center; without a connection you cannot see it. For working without a network you need a PC of your own.

Sources

Checked on 2026-11-10 against the publisher’s information:

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