When logging in to a laptop with an Azure account, does this sign use an internet or local sign in?

Hi,

So, I want to implement this on some tech laptops we have in our organization. The machines themselves are registered on Azure, with the VMs correctly using the host TPMs for sign in, etc.

What I want to know is, when using winapps to get at these applications, is the KVM running fully in the background where it logs into the guest account, over the network? Or is it logged in some other way?

Also, we have a disclaimer that pops up before logging in, is this an issue?

Thanks!