Box 1: Yes

Any new deployments to Azure must be redundant in case an Azure region fails.

Traffic Manager uses DNS to direct client requests to the most appropriate service endpoint based on a traffic-routing method and the health of the endpoints. An endpoint is any Internet-facing service hosted inside or outside of Azure. Traffic Manager provides a range of traffic-routing methods and endpoint monitoring options to suit different application needs and automatic failover models. Traffic Manager is resilient to failure, including the failure of an entire Azure region.

Box 2: Yes

Recent changes in Azure brought some significant changes in autoscaling options for Azure Web Apps (i.e. Azure App Service to be precise as scaling happens on App Service plan level and has effect on all Web Apps running in that App Service plan).

Box 3: No

Traffic Manager provides a range of traffic-routing methods and endpoint monitoring options to suit different application needs and automatic failover models. Traffic Manager is resilient to failure, including the failure of an entire Azure region.

Directory synchronization between Azure Active Directory (Azure AD) and corp.fabrikam.com must not be affected by a link failure between Azure and the on-premises network. (This requires domain controllers in Azure)

Users on the on-premises network must be able to authenticate to corp.fabrikam.com if an Internet link fails. (This requires domain controllers on-premises)