True Failover relating to Password Manager is referring to an internal process to determine which of the possible multiple Password Manager service instances is designated as the 'Primary' instance.
This is only used for internal Password Manager processes in regards to updating Active Directory Service Connection Points (SCPs), Password Manager replication objects, and the _QPMStorageContainer user object.
The reference to true failover does not equate to traditional failover such as SQL failover, Clusters, or Load Balancers. True Failover in Password Manager terms is of internal use only.
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