As businesses prepare for the end of extended support for Windows 10 in October 2025, the conversation around virtualization has become increasingly urgent. Whether it’s a necessity for maintaining compliance or an opportunity to streamline IT operations, virtualization offers compelling reasons to take action now. Let’s break down why this transition deserves your attention.

Maintain Compliance Beyond Windows 10

Microsoft has indicated that legacy devices unable to meet the hardware requirements for Windows 11 can remain compliant by leveraging virtualization solutions. By appending Microsoft 365 or Azure Virtual Desktop (AVD) to these devices, businesses can access Microsoft’s Extended Security Updates (ESU) at no additional cost.

This makes virtualization a strategic solution for businesses grappling with older hardware or delayed migrations, allowing them to extend the life of existing devices while staying secure and compliant.

Cost Predictability and Flexibility

Windows 365, a relatively new offering, stands out for its predictable monthly pricing. Unlike traditional virtualization, where costs can fluctuate based on resource usage, Windows 365 provides a flat fee. This allows businesses to plan their IT budgets more effectively while still offering flexible licensing options.

For example, contractors, interns, and other temporary workers can benefit from virtualized desktops without the overhead of provisioning physical devices. Similarly, developers and other resource-intensive users can leverage AVD for its scalability during peak periods, such as testing or building code.

Windows 365 Link

At just $349, the new Windows 365 Link device introduces an innovative way to access cloud PCs at a significantly lower cost than traditional laptops or desktops. This lightweight hardware is the first “cloud PC” device incubated by Microsoft, offering direct and secure connectivity to Windows 365.

The device integrates seamlessly with peripherals, enabling businesses to avoid the high upfront cost of new workstations. It’s particularly appealing for sectors like healthcare, where clinical teams can quickly connect to virtualized desktops securely using peripherals and authentication tools like YubiKeys.

Windows 365 Shared Licenses

In another breakthrough, Microsoft has unveiled Windows 365 Frontline Shared Licenses, aimed at making virtualization even more cost-effective for businesses with rotating or part-time staff. Previously, individual licenses were required for each user. Now, shared licenses allow multiple employees—such as nurses working in shifts—to access a single virtualization instance non-concurrently.

For example:

• A single $40/month license can support three workers across different shifts (e.g., morning, evening, and night).
• The new shared mode expands this capability, supporting even larger teams under one virtualization instance.

This development dramatically lowers the cost of virtual desktops for industries like manufacturing and healthcare, enabling wider adoption of cloud PCs at scale.

Streamlined Productivity and Performance

Virtualization has evolved beyond merely replacing physical desktops. Solutions like Windows 365 offer a SaaS-like experience, enabling users to access corporate resources seamlessly from any device. This streamlined environment eliminates the complexities of VPNs and disparate access systems, significantly enhancing productivity.

For businesses adopting a hybrid or BYOD (Bring Your Own Device) model, virtualization ensures secure and efficient access to work environments, boosting employee satisfaction and performance.

Strategic Fit for Diverse User Needs

Virtualization is not a one-size-fits-all solution. Instead, it’s about matching the right tool to the right user persona.

• Windows 365 is ideal for SaaS-heavy users who need consistent access to business applications.
• Azure Virtual Desktop (AVD) caters to users with fluctuating resource needs, such as developers requiring GPU access for specific tasks.

To deep dive the differences between the two solutions, I’d recommend you check out our recent discussion with Microsoft Principal Product Manager, Christiaan Brinkhoff: W365 and AVD Which Solution is Right for Your Business

A thoughtful assessment of these personas helps businesses build a tailored virtualization strategy, maximizing ROI and operational efficiency.

Seize the Gartner Magic Quadrant Advantage

Microsoft’s leadership in the Gartner Magic Quadrant for Desktop as a Service (DaaS) underscores its completeness of vision and execution ability. By adopting its virtualization solutions, businesses position themselves to leverage cutting-edge technology from a recognized leader.

Start Now to Avoid the Rush

With the end of Windows 10 support on the horizon, waiting until the last minute could lead to rushed decisions, higher costs, and compliance risks. Starting the virtualization journey now allows time for thorough assessments, cost modeling, and phased deployments.

Conclusion

Virtualization isn’t just about addressing an imminent challenge—it’s about embracing long-term benefits like cost control, enhanced productivity, and operational flexibility. Start by conducting an assessment to determine the best fit for your organization’s needs. Whether it’s Windows 365, Azure Virtual Desktop, or a mix of both, the time to act is now.