Azure Local is Microsoft's distributed infrastructure product for customer-owned environments, extending Azure services to on-premises and edge locations. Organisations run applications and virtual machines on their own hardware and manage them through Azure Arc and Azure management tools such as the Azure portal, CLI and ARM templates. It is priced per physical core on the customer's machines, and additional Azure services are billed separately. The product can run connected to the cloud or disconnected from it.
Microsoft Corporation is headquartered in Redmond, Washington, in the United States. As a US company, Microsoft is subject to US legal process such as the CLOUD Act, which European organisations should weigh in their assessment. Workloads run on hardware the customer controls, but the management layer based on Azure Arc is operated in Azure. The overview page does not state where that management data is processed, so before deployment organisations should check the data residency options and Microsoft's data processing terms. The product is not open source.