Azure Virtual Desktop (AVD) is an example of Infrastructure as a Service (IaaS) provided by Microsoft Azure. With AVD, Microsoft manages the infrastructure, including servers, storage, and networking components, while users are responsible for managing the virtual machines, operating systems, applications, and data within their virtual desktop environment. Therefore, Azure Virtual Desktop falls under the IaaS category, as it provides the foundational infrastructure required to deploy and manage virtual desktops in the cloud.