Azure Stack HCI Licensing & Technical question

Hi Kadam, Yogesh,

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1.Windows Server Licensing with Azure Stack HCI:
You can apply the Windows Server license sold through Telstra CSP software subscription to your Azure Stack HCI cluster registered through Telstra CSP Azure subscription resell.

If you provide the Windows Server 2022 Datacenter license purchased through Telstra CSP software subscription, you can activate the Azure Hybrid Benefit. This benefit will waive the Azure Stack HCI host service fee and the Windows Server license fee for guest Windows OS VMs.
https://learn.microsoft.com/en-us/azure-stack/hci/concepts/azure-hybrid-benefit-hci?tabs=azure-portal

If you have Windows Server Datacenter licenses with active Software Assurance, you are eligible to activate Azure Hybrid Benefit for your Azure Stack HCI cluster. To activate this benefit, you'll need to exchange 1-core license of Software Assurance-enabled Windows Server Datacenter for 1-physical core of Azure Stack HCI. For detailed licensing requirements, see Azure Hybrid Benefit for Windows Server.

This benefit waives the Azure Stack HCI host service fee and Windows Server guest subscription on your cluster. Other costs associated with Azure Stack HCI, such as Azure services, are billed as per normal. For details about pricing with Azure Hybrid Benefit, see Azure Stack HCI pricing.

SQL Server Licensing through Telstra CSP:
Yes, the SQL Server Standard 2022 license can be sold through the Telstra CSP (Cloud Solution Provider) software subscription. This allows customers to purchase SQL Server licenses through a subscription model rather than the pay-as-you-go billing for Azure Arc-enabled SQL Server 2022.
You can find detailed information about SQL Server 2022 licensing, including the subscription model through CSP, in the official Microsoft documentation.
https://www.microsoft.com/en-us/sql-server/sql-server-2022-pricing

2.Azure Arc VM management.
The below article lists the requirements and prerequisites for Azure Arc VM management. We recommend that you review the requirements and complete the prerequisites before you manage your Arc VMs. Arc VM management infrastructure is supported in the regions documented in the Azure requirements.

3.Cluster Witness for Azure Stack HCI:
Recommendation: We recommend setting up a cluster witness for clusters with two, three, or four nodes. The witness helps the cluster determine which nodes have the most up-to-date cluster data if some nodes can't communicate with the rest of the cluster. You can host the cluster witness on a file share located on another server,or use a cloud witness.
https://learn.microsoft.com/en-us/azure-stack/hci/manage/witness

To learn more about cluster witnesses and quorum, see Understanding cluster and pool quorum on Azure Stack HCI. To manage the witness, including setting a file share witness, see Change cluster settings.

4.External prerequisite components:
Yes, you can host external prerequisite components like Windows Admin Center, Active Directory, and DNS on an on-premises Azure Stack HCI cluster.
https://learn.microsoft.com/en-us/azure-stack/hci/deploy/create-cluster?tabs=use-network-atc-to-deploy-and-manage-networking-recommended
Active Directory and DNS can also be hosted on your Azure Stack HCI cluster. This involves setting up a dedicated Organizational Unit (OU) and ensuring proper configuration to meet the requirements of your HCI deployment. For more information, check out the Prepare Active Directory for Azure Stack HCI documentation