Yeah it seems like there are two issues here being conflated. The first is that non-US-persons are operating, by proxy, Azure assets that serve US Gov missions.

Yeah it seems like there are two issues here being conflated. The first is that non-US-persons are operating, by proxy, Azure assets that serve US Gov missions. The second is that those persons may be operating assets used in sensitive missions. Say IL4 and up. The first is a little embarrassing for Microsoft, but a venal sin, not a mortal one. Makes them look like cheapskates offshoring work, instead of training local workers, but Ok, fine. The second would be a mortal sin, assuming ( its not clear from the article whether) these non-US people are really operating at IL4 and up. Those assets really need US people especially at the higher impact levels. All of the above is public info described in FedRAMP standards.