Online and offline models of the Microsoft Store for Business offer different capabilities. Select the model depending on how you want to manage your deployment. Capabilities include what system manages licenses, where app packages are stored, and what system authenticates to resources.

Table 1. Online and Offline Model Comparison - Different Capabilities
Feature Online License Model Offline License Model
License control Licenses managed by the Microsoft Store for Business.

Users can receive applications and claim licenses outside of your Workspace ONE UEM deployment.

Licenses managed by the enterprise.

Use the offline licensing model to control application packages and updates.

This model offers flexibility but requires attention to ensure that applications stay updated and licenses get renewed.

App package host App package hosted by the Microsoft Store for Business. App package hosted by the Workspace ONE UEM file storage for on-premises or in the Workspace ONE UEM SaaS environment.
Azure Active Directory Devices must use your Azure Active Directory system to authenticate.

Enable the Azure Active Directory system so Workspace ONE UEM and the Microsoft Store for Business can communicate.

Devices do not have to use the Azure Active Directory system to authenticate.

However, you must enable the Azure Active Directory system so Workspace ONE UEM and the Microsoft Store for Business can communicate.

Restrict the app store Devices cannot install applications because the restriction prevents the Microsoft Store for Business on the device. Devices can still install applications because the app packages are hosted in the Workspace ONE UEM environment.
Table 2. Online and Offline Model Comparison - Same Capabilities
Feature Online License Model Offline License Model
Level where licenses are claimed Licenses claimed by Workspace ONE UEM for the application at the user level. Licenses claimed by Workspace ONE UEM for the application at the user level.
License reuse Admins can revoke licenses through Workspace ONE UEM and reuse them. Admins can revoke licenses through Workspace ONE UEM and reuse them.