Microsoft’s Azure Key Vault Managed HSM allows customers to safeguard their cryptographic keys for their cloud applications and be standards-compliant. It is a highly available, fully managed, single-tenant cloud service that uses FIPS 140-2 Level 3 validated hardware security modules (HSMs). Here we will discuss the reasons why customers who have a centrally managed key management system on-premises in their data center should use a hosted HSM for managing their keys in the MS Azure Key Vault.