diff --git a/.azdo/remoting/az-login.yml b/.azdo/remoting/az-login.yml
new file mode 100644
index 000000000..ee7a4e7e9
--- /dev/null
+++ b/.azdo/remoting/az-login.yml
@@ -0,0 +1,16 @@
+parameters:
+- name: SPAppId
+  type: string
+  default: $(BuildXLPipelinesAppId)
+- name: SPPassword
+  type: string
+  default: $(AzureApp-BuildXL-Pipelines)
+- name: SPTenant
+  type: string
+  default: $(BuildXLPipelinesTenantId)
+
+steps:
+- script: |
+    call az login --service-principal --username ${{ parameters.SPAppId }} --password ${{ parameters.SPPassword }} --tenant ${{ parameters.SPTenant }}
+    if ERRORLEVEL 1 echo "az login failed" & exit /b 1
+  displayName: 'Azure login'
diff --git a/.azdo/remoting/install-client.yml b/.azdo/remoting/install-client.yml
new file mode 100644
index 000000000..c493c6ae6
--- /dev/null
+++ b/.azdo/remoting/install-client.yml
@@ -0,0 +1,37 @@
+parameters:
+- name: AnyBuildSource
+  type: string
+  default: ''
+- name: Ring
+  type: string
+  default: 'Dogfood'
+
+steps:
+- powershell: |
+   Remove-Item -Force -Recurse "$env:LOCALAPPDATA\Microsoft\AnyBuild" -ea SilentlyContinue
+   
+   # Make lowercase as AzStorage cannot handle uppercase in URL.
+   $source = "${{ parameters.AnyBuildSource }}".ToLowerInvariant()
+   
+   $bootstrapperArgs = @("$source", "${{ parameters.Ring }}")
+
+   Write-Host "Bootstrapper args: '$bootstrapperArgs'";
+   
+   while ($true)
+   {
+     $script = ((curl.exe -s -S --retry 10 --retry-connrefused "$source/bootstrapper.ps1") | Out-String)
+     Write-Host "Downloaded script: `r`n $script";
+     if ($LASTEXITCODE -eq 0)
+     {
+         break;
+     }
+   
+     # We sometimes get a 404 error when downloading the bootstrapper
+     # while the bootstrapper script is updating. Needs an eventual fix instead of this workaround.
+     Write-Host "ERROR: Failed downloading the bootstrapper script. Trying again."
+   }
+   
+   Invoke-Command -ScriptBlock ([scriptblock]::Create($script)) -ArgumentList $bootstrapperArgs
+  failOnStderr: true
+  displayName: 'Install AnyBuild client'
+  continueOnError: false
\ No newline at end of file
diff --git a/.azdo/remoting/pipeline.yml b/.azdo/remoting/pipeline.yml
new file mode 100644
index 000000000..7abb8c1e9
--- /dev/null
+++ b/.azdo/remoting/pipeline.yml
@@ -0,0 +1,85 @@
+trigger: none
+
+pool:
+  name: BuildXL-DevOpsAgents-PME
+
+variables:
+  NugetCredentialProviderPath: '$(Build.SourcesDirectory)\Public\Src\Tools\BuildXL.Tools.CredentialProvider\bin\Debug\netcoreapp2.1\win-x64'
+  Datacenter: 'westus2'
+  ClusterName: 'Bxl1'
+  RemoteUri: 'https://westus2.anybuild-test.microsoft.com/clusters/07F427C5-7979-415C-B6D9-01BAD5118191'
+  ClientContainerUrl: 'https://anybuild$(ClusterName)$(Datacenter).blob.core.windows.net/clientreleases'
+  BootstrapArgs: '-DeployDev /p:[Sdk.BuildXL]microsoftInternal=1'
+  RemotingArgs: '-UseDev -Minimal -EnableProcessRemoting -RemoteServiceUri $(RemoteUri) /p:BUILDXL_ANYBUILD_SERVICE_PRINCIPAL_APP_ID=$(BuildXLPipelinesAppId) /p:BUILDXL_ANYBUILD_SERVICE_PRINCIPAL_PWD_ENV=AnyBuildServicePrincipalPwd /numRemoteAgentLeases:24 /remotingThresholdMultiplier:1.25 /p:[Sdk.BuildXL]microsoftInternal=1 /p:BUILDXL_FINGERPRINT_SALT=*'
+
+steps:
+
+- checkout: self
+  fetchDepth: 1
+
+- template: ./az-login.yml
+
+- script: 'C:\windows\system32\fsutil usn createjournal m=0x20000000 a=0x8000000 D:'
+  displayName: 'Enable Journaling for D drive'
+
+- script: |
+   if EXIST %AppData%\NuGet\NuGet.Config (
+       del %AppData%\NuGet\NuGet.Config
+   )
+  displayName: 'Nuget Hack: delete old nuget.config first'
+
+- task: UseDotNet@2
+  displayName: 'Use .NET Core sdk 6.x'
+  inputs:
+    version: 6.x
+
+- task: DotNetCoreCLI@2
+  displayName: 'Build BuildXL.Tools.CredentialProvider'
+  inputs:
+    projects: '$(Build.SourcesDirectory)\Public\Src\Tools\BuildXL.Tools.CredentialProvider\BuildXL.Tools.CredentialProvider.csproj'
+    arguments: '-r win-x64'
+
+- template: ./install-client.yml
+  parameters:
+    AnyBuildSource: $(ClientContainerUrl)
+
+- task: BatchScript@1
+  displayName: 'Kill existing BuildXL processes'
+  inputs:
+    filename: Shared/Scripts/KillBxlInstancesInRepo.cmd
+  continueOnError: true
+  condition: always()
+
+- task: PowerShell@2
+  displayName: 'Build BXL'
+  inputs:
+    targetType: filePath
+    filePath: '$(Build.SourcesDirectory)\RunBxlWithPAT.ps1'
+    arguments: '-OneEsPat $(PAT-TseBuild-AzureDevOps-1esSharedAssets-Package-Read) -CbPat $(PAT-TseBuild-AzureDevOps-CloudBuild-Packaging-Read) -NcPath $(NugetCredentialProviderPath) -MsEngGitPat $(PAT-TseBuild-AzureDevOps-MsEng-ReadCode) $(BootstrapArgs)'
+
+- task: PowerShell@2
+  displayName: 'Run BXL with remoting'
+  inputs:
+    targetType: filePath
+    filePath: '$(Build.SourcesDirectory)\RunBxlWithPAT.ps1'
+    arguments: '-OneEsPat $(PAT-TseBuild-AzureDevOps-1esSharedAssets-Package-Read) -CbPat $(PAT-TseBuild-AzureDevOps-CloudBuild-Packaging-Read) -NcPath $(NugetCredentialProviderPath) -MsEngGitPat $(PAT-TseBuild-AzureDevOps-MsEng-ReadCode) $(RemotingArgs)'
+  env:
+    AnyBuildServicePrincipalPwd: $(AzureApp-BuildXL-Pipelines)
+
+- task: BatchScript@1
+  displayName: 'Kill existing BuildXL processes'
+  inputs:
+    filename: Shared/Scripts/KillBxlInstancesInRepo.cmd
+  continueOnError: true
+  condition: always()
+
+- task: PublishPipelineArtifact@1
+  displayName: 'Upload logs'
+  inputs:
+    targetPath: '$(Build.SourcesDirectory)\Out\Logs'
+  condition: always()
+
+- template: ./validate.yml
+  parameters:
+    LogDirectory: '$(Build.SourcesDirectory)\Out\Logs'
+
diff --git a/.azdo/remoting/validate.yml b/.azdo/remoting/validate.yml
new file mode 100644
index 000000000..917eadf35
--- /dev/null
+++ b/.azdo/remoting/validate.yml
@@ -0,0 +1,32 @@
+parameters:
+- name: LogDirectory
+  type: string
+  default: '$(Build.SourcesDirectory)\Out\Logs'
+
+steps:
+- powershell: |
+    $f = Get-ChildItem -Path '${{ parameters.LogDirectory }}\*\AnyBuildDaemonManager.log' -Recurse  | Select-Object -First 1
+    $bxlWithRemotingLogDir = $f.DirectoryName
+    $statsContent = Get-Content -Path (Join-Path $bxlWithRemotingLogDir "BuildXL.stats") | Out-String
+    $stats = ConvertFrom-StringData -StringData $statsContent
+    $runRemoteCount = $stats.Get_Item("PipExecution.TotalRunRemoteProcesses")
+    $runLocalFallbackCount = $stats.Get_Item("PipExecution.TotalRemoteFallbackRetries")
+
+    Write-Host "Run remote: $runRemoteCount"
+    Write-Host "Run local due to fallback: $runLocalFallbackCount"
+
+    if ($runRemoteCount -eq 0)
+    {
+        Write-Host "No process pip ran remotely"
+        exit 1
+    }
+
+    if ($runLocalFallbackCount -ne 0)
+    {
+        Write-Host "$runLocalFallbackCount remoted process pip(s) ran locally"
+        exit 1
+    }
+
+    exit 0
+  continueOnError: true
+  displayName: 'Validate remoting'
\ No newline at end of file
diff --git a/Public/Src/Engine/Processes/Remoting/AnyBuild/AnyBuildRemoteProcessManager.cs b/Public/Src/Engine/Processes/Remoting/AnyBuild/AnyBuildRemoteProcessManager.cs
index c51d9bf42..8f4156009 100644
--- a/Public/Src/Engine/Processes/Remoting/AnyBuild/AnyBuildRemoteProcessManager.cs
+++ b/Public/Src/Engine/Processes/Remoting/AnyBuild/AnyBuildRemoteProcessManager.cs
@@ -118,7 +118,8 @@ namespace BuildXL.Processes.Remoting
                         closeDaemonOnDispose: true,
                         m_executionContext.CancellationToken,
                         logDirectory: logDir,
-                        additionalAnyBuildParameters: extraParams);
+                        additionalAnyBuildParameters: extraParams,
+                        inheritHandlesOnProcessCreation: false);
                 }
                 catch (Exception e)
                 {
@@ -165,6 +166,20 @@ namespace BuildXL.Processes.Remoting
                 $"--CacheDir {localCacheDir}",
             };
 
+            if (!string.IsNullOrEmpty(EngineEnvironmentSettings.AnyBuildServicePrincipalAppId))
+            {
+                args.Add("--ClientApplicationId");
+                args.Add(EngineEnvironmentSettings.AnyBuildServicePrincipalAppId);
+
+                if (string.IsNullOrEmpty(EngineEnvironmentSettings.AnyBuildServicePrincipalPwdEnv))
+                {
+                    throw new BuildXLException($"Service principal password is required for starting AnyBuild daemon");
+                }
+
+                args.Add("--ClientSecretEnvironmentVariable");
+                args.Add(EngineEnvironmentSettings.AnyBuildServicePrincipalPwdEnv);
+            }
+
             if (!string.IsNullOrEmpty(m_configuration.Schedule.RemoteExecutionServiceUri))
             {
                 try
diff --git a/Public/Src/Engine/Processes/Remoting/AnyBuild/AnyBuildRemoteProcessPipResult.cs b/Public/Src/Engine/Processes/Remoting/AnyBuild/AnyBuildRemoteProcessPipResult.cs
index f44222573..3d63dc60f 100644
--- a/Public/Src/Engine/Processes/Remoting/AnyBuild/AnyBuildRemoteProcessPipResult.cs
+++ b/Public/Src/Engine/Processes/Remoting/AnyBuild/AnyBuildRemoteProcessPipResult.cs
@@ -41,9 +41,8 @@ namespace BuildXL.Processes.Remoting.AnyBuild
                 ExitCode = result.ExitCode,
                 StdOut = result.StdOut,
                 StdErr = result.StdErr,
-                Disposition = result.Disposition switch
+                Disposition = result.ExecutionDisposition switch
                 {
-                    CommandExecutionDisposition.Unknown => RemoteResultDisposition.Unknown,
                     CommandExecutionDisposition.CacheHit => RemoteResultDisposition.CacheHit,
                     CommandExecutionDisposition.Remoted => RemoteResultDisposition.Remoted,
                     CommandExecutionDisposition.RanLocally => RemoteResultDisposition.RanLocally,
diff --git a/Public/Src/Engine/Processes/Remoting/RemoteResultDisposition.cs b/Public/Src/Engine/Processes/Remoting/RemoteResultDisposition.cs
index 41bb9111e..7936a55a3 100644
--- a/Public/Src/Engine/Processes/Remoting/RemoteResultDisposition.cs
+++ b/Public/Src/Engine/Processes/Remoting/RemoteResultDisposition.cs
@@ -8,11 +8,6 @@ namespace BuildXL.Processes.Remoting
     /// </summary>
     public enum RemoteResultDisposition
     {
-        /// <summary>
-        /// Default zero value.
-        /// </summary>
-        Unknown,
-
         /// <summary>
         /// Process completed with cache hit.
         /// </summary>
diff --git a/Public/Src/Utilities/Configuration/EngineEnvironmentSettings.cs b/Public/Src/Utilities/Configuration/EngineEnvironmentSettings.cs
index 04b9f4f24..db5b84ab8 100644
--- a/Public/Src/Utilities/Configuration/EngineEnvironmentSettings.cs
+++ b/Public/Src/Utilities/Configuration/EngineEnvironmentSettings.cs
@@ -88,6 +88,16 @@ namespace BuildXL.Utilities.Configuration
         /// </summary>
         public static readonly Setting<string> AnyBuildExtraArgs = CreateSetting("BUILDXL_ANYBUILD_EXTRA_ARGS", value => value);
 
+        /// <summary>
+        /// Service principal app id for starting AnyBuild daemon.
+        /// </summary>
+        public static readonly Setting<string> AnyBuildServicePrincipalAppId = CreateSetting("BUILDXL_ANYBUILD_SERVICE_PRINCIPAL_APP_ID", value => value);
+
+        /// <summary>
+        /// Environment variable where the service principal password for starting AnyBuild daemon is stored.
+        /// </summary>
+        public static readonly Setting<string> AnyBuildServicePrincipalPwdEnv = CreateSetting("BUILDXL_ANYBUILD_SERVICE_PRINCIPAL_PWD_ENV", value => value);
+
         /// <summary>
         /// Indicates whether the application should fail fast on null reference exceptions
         /// </summary>
diff --git a/RunBxlWithPAT.ps1 b/RunBxlWithPAT.ps1
new file mode 100644
index 000000000..10dc3805d
--- /dev/null
+++ b/RunBxlWithPAT.ps1
@@ -0,0 +1,82 @@
+[CmdletBinding(PositionalBinding=$false)]
+Param(
+ [Parameter(mandatory=$true)]
+ [String]$OneEsPat,
+ [Parameter(mandatory=$true)]
+ [String]$CbPat,
+ [Parameter(mandatory=$true)]
+ [String]$NcPath,
+ [Parameter(mandatory=$true)]
+ [String]$MsEngGitPat,
+
+ [Parameter(Mandatory=$false)]
+ [switch]$DeployDev = $false,
+ [Parameter(Mandatory=$false)]
+ [switch]$UseDev = $false,
+ [Parameter(Mandatory=$false)]
+ [switch]$Minimal = $false,
+ [Parameter(Mandatory=$false)]
+ [switch]$Release = $false,
+
+ [Parameter(Mandatory=$false)]
+ [switch]$EnableProcessRemoting = $false,
+ [Parameter(Mandatory=$false)]
+ [string]$RemoteServiceUri = "https://westus2.anybuild-test.microsoft.com/clusters/07F427C5-7979-415C-B6D9-01BAD5118191",
+ [Parameter(Mandatory=$false)]
+ [string]$AnyBuildClientDir,
+
+ [Parameter(mandatory=$false, ValueFromRemainingArguments=$true)]
+ [string[]]$BxlArgs
+)
+
+[Environment]::SetEnvironmentVariable("1ESSHAREDASSETS_BUILDXL_FEED_PAT", $OneEsPat, "Process")
+[Environment]::SetEnvironmentVariable("CLOUDBUILD_BUILDXL_SELFHOST_FEED_PAT", $CbPat, "Process")
+[Environment]::SetEnvironmentVariable("MSENG_GIT_PAT", $MsEngGitPat, "Process")
+[Environment]::SetEnvironmentVariable("NUGET_CREDENTIALPROVIDERS_PATH", $NcPath, "Process")
+
+[Environment]::SetEnvironmentVariable("VSS_NUGET_EXTERNAL_FEED_ENDPOINTS", "
+{
+    'endpointCredentials': [
+        {'endpoint':'https://pkgs.dev.azure.com/1essharedassets/_packaging/BuildXL/nuget/v3/index.json', 'password':'$OneEsPat'}, 
+        {'endpoint':'https://pkgs.dev.azure.com/cloudbuild/_packaging/BuildXL.Selfhost/nuget/v3/index.json', 'password':'$CbPat'}
+    ]
+}", "Process")
+
+$BxlCmdArgs = @()
+
+if ($UseDev)
+{
+    $BxlCmdArgs += @("-Use", "Dev")
+}
+
+if ($DeployDev)
+{
+    $BxlCmdArgs += "-DeployDev"
+}
+
+if ($Release)
+{
+    $BxlCmdArgs += @("-DeployConfig", "Release")
+}
+
+if ($Minimal)
+{
+    $BxlCmdArgs += "-Minimal"
+}
+
+if ($EnableProcessRemoting)
+{
+    $BxlCmdArgs += "-EnableProcessRemoting"
+    $BxlCmdArgs += @("-RemoteServiceUri", $RemoteServiceUri)
+}
+
+if (-not [string]::IsNullOrEmpty($AnyBuildClientDir))
+{
+    $BxlCmdArgs += @("-AnyBuildClientDir", "$AnyBuildClientDir")
+}
+
+$BxlCmdArgs += $BxlArgs
+
+Write-Host "Call bxl.cmd $BxlCmdArgs"
+
+.\bxl.cmd $BxlCmdArgs
\ No newline at end of file
diff --git a/Shared/Scripts/bxl.ps1 b/Shared/Scripts/bxl.ps1
index e00140bad..c2cdc0b77 100644
--- a/Shared/Scripts/bxl.ps1
+++ b/Shared/Scripts/bxl.ps1
@@ -125,7 +125,7 @@ param(
     [switch]$DoNotUseDefaultCacheConfigFilePath = $false,
 
     [Parameter(Mandatory=$false)]
-	[switch]$UseDedupStore = $false,
+    [switch]$UseDedupStore = $false,
 
     [Parameter(Mandatory=$false)]
     [switch]$UseVfs = $false,
@@ -139,17 +139,26 @@ param(
 
     [Parameter(Mandatory=$false)]
     [switch]$VsAll = $false,
-	
+
     [Parameter(Mandatory=$false)]
     [switch]$UseManagedSharedCompilation = $true,
 
-    [Parameter(ValueFromRemainingArguments=$true)]
-    [string[]]$DominoArguments,
-
     [Parameter(Mandatory=$false)]
     [switch]$NoQTest = $false,
 
-    [switch]$NoSubst = $false
+    [switch]$NoSubst = $false,
+
+    [Parameter(Mandatory=$false)]
+    [switch]$EnableProcessRemoting = $false,
+
+    [Parameter(Mandatory=$false)]
+    [string]$RemoteServiceUri = "https://westus2.anybuild-test.microsoft.com/clusters/07F427C5-7979-415C-B6D9-01BAD5118191",
+
+    [Parameter(Mandatory=$false)]
+    [string]$AnyBuildClientDir,
+
+    [Parameter(ValueFromRemainingArguments=$true)]
+    [string[]]$DominoArguments
 )
 
 $ErrorActionPreference = "Stop";
@@ -211,7 +220,7 @@ $isMicrosoftInternal = [Environment]::GetEnvironmentVariable("[Sdk.BuildXL]micro
 # - this is not considered an internal build
 # We might decide to relax this once shared compilation gets enough mileage.
 if ($UseManagedSharedCompilation -and 
-        (($DominoArguments -like '*/ado*') -or (-not $isMicrosoftInternal))) {
+        (($DominoArguments -like '*/ado*') -or (-not $isMicrosoftInternal) -or $EnableProcessRemoting)) {
     $UseManagedSharedCompilation = $false
 }
 
@@ -312,6 +321,16 @@ if (($DominoArguments -match "logsDirectory:.*").Length -eq 0 -and ($DominoArgum
     $AdditionalBuildXLArguments += "/logsToRetain:20";
 }
 
+if ($EnableProcessRemoting) {
+    # Unit tests are not supported for remoting because change journal is not enabled on agents
+    # and all volumes in agents have the same serial.
+    $AdditionalBuildXLArguments += @("/server-", "/enableLazyOutputs-", "/exp:lazysodeletion-", "/enableProcessRemoting+", "/processCanRunRemoteTags:compile", "/processMustRunLocalTags:telemetry:xUnit;telemetry:xUnitUntracked;telemetry:QTest", "/remoteExecutionServiceUri:$RemoteServiceUri");
+
+    if (-not [string]::IsNullOrEmpty($AnyBuildClientDir)) {
+        $AdditionalBuildXLArguments += " /p:BUILDXL_ANYBUILD_CLIENT_INSTALL_DIR=$AnyBuildClientDir"
+    }
+}
+
 if ($Deploy -eq "LKG") {
     throw "The LKG deployment is special since it comes from a published NuGet package. It cannot be re-deployed in this selfhost wrapper.";
 }
diff --git a/bxlremote.cmd b/bxlremote.cmd
deleted file mode 100644
index 0bc0ab3a6..000000000
--- a/bxlremote.cmd
+++ /dev/null
@@ -1,31 +0,0 @@
-@ECHO OFF
-
-REM Builds using bxl.exe hooked up to AnyBuild for remoting
-REM
-REM Usage:
-REM     bxlremote.cmd <passthrough-command-line-options>
-REM where
-REM - <passthrough-command-line-options>: Additional options to pass through to bxl.cmd.
-REM
-REM Example:
-REM     bxlremote.cmd -deploy dev -minimal
-REM
-REM Prerequesites:
-REM     Requires a debug built AnyBuild repository as a sibling of the current repo root.
-
-SETLOCAL
-
-set _AnyBuildDistrib=%~dp0..\AnyBuild\distrib\Debug
-set Passthrough_Args=%*
-set _ClusterId=07F427C5-7979-415C-B6D9-01BAD5118191
-
-
-REM real cluster mode
-REM To use loopback mode, replace --RemoveExecServiceUri for --loopback
-%_AnyBuildDistrib%\AnyBuild\AnyBuild.exe --JsonConfigOverrides ProcessSubstitution.MaxParallelLocalExecutionsFactor=0 Run.DisableDirectoryMetadataDedup=true --remoteAll -v --DoNotUseMachineUtilizationForScheduling -w --NoSandboxingBuildEngine --CacheDir out\AnyBuildCache --LogDir out\AnyBuildLogs --DisableActionCache --RemoteExecServiceUri https://westus2.anybuild-test.microsoft.com/clusters/%_ClusterId%  -- bxl.cmd /enableProcessRemoting+ /enableLazyOutputs- -nosubst /maxprocmultiplier:0.75 /numRemoteLeases:100 /p:[Sdk.BuildXL]useManagedSharedCompilation=false %Passthrough_Args%
-
-if %ERRORLEVEL% NEQ 0 (
-    ENDLOCAL && EXIT /b 1
-)
-
-ENDLOCAL && EXIT /b 0
\ No newline at end of file
diff --git a/cg/nuget/cgmanifest.json b/cg/nuget/cgmanifest.json
index 66f0ad9a6..9d3da5c65 100644
--- a/cg/nuget/cgmanifest.json
+++ b/cg/nuget/cgmanifest.json
@@ -15,7 +15,7 @@
         "Type": "NuGet",
         "NuGet": {
           "Name": "AnyBuild.SDK",
-          "Version": "0.1.5"
+          "Version": "0.1.10"
         }
       }
     },
diff --git a/config.microsoftInternal.dsc b/config.microsoftInternal.dsc
index fb7fe485a..dce7bd406 100644
--- a/config.microsoftInternal.dsc
+++ b/config.microsoftInternal.dsc
@@ -84,7 +84,7 @@ export const pkgs = isMicrosoftInternal ? [
     { id: "Microsoft.VisualStudio.Services.Governance.ComponentDetection.Contracts", version: "0.2010.80" },
 
     // Process remoting
-    { id: "AnyBuild.SDK", version: "0.1.5" },
+    { id: "AnyBuild.SDK", version: "0.1.10" },
 ] : [
 
     // Artifact packages and dependencies in OSS