Hi @Fernando Ariel Chirkinian ,
Welcome to Microsoft Q&A Forum, thank you for posting your query here!
Great to hear the exercise you're doing it.
Yes, it will work as long as there is a VPN connection between your on-premises environment and Azure.
However, the best practice is to deploy the appliance within the on-premises environment to minimize network latency.
Typically, the appliance copies disk data and stores it in an Azure storage account. When the appliance is on-premises, the data transfer is faster since both the source server and the appliance are within the same network.
let us know if you have any further queries. I’m happy to assist you further.
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