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Just about exactly 10 years ago, actually: https://lwn.net/Articles/590870/

It actually violates some federal contracting rules to support non-NIST keys. Maybe they don’t bother for that reason?

Azure's gov cloud is a separate API.

With a lot of shared software. Need a strong reason to introduce differences which if accidentally misconfigured could have large contract liabilities.

Maybe they're supporting TLAs abilities to crack Microsoft users when 'necessary'?