Appreciate you are adding the information maulikshah23 .
No doubt this is the case.
Imho, the missing part of the puzzle (and reason for the linked feedback) is the use of Hotpatching for the Azure Edition, running on Azure Stack HCI.
With or without Azure Update Manger in place, it seems not possible to hotpatch these. Using sconfig in Azure Edition OS on Azure Stack HCI does not fetch the "hotpatching" KBs and using Azure Update Manager, there is no ability to use Hotpatching for these Arc-Enabled Servers running Azure Edition, as more likely the customer would be using Azure Policy and Maintenance Policies for patching, so out of the scope and control of "Azure Managed - Safe Deployment".
If "Azure Managed - Safe Deployment" would also apply to Azure Edition OS on Azure Stack HCI, I would pretty much welcome this approach, since no restarts are needed anyway, they customers wouldn't need to control restarts, but might want to control deployment date.
Do you have any questions on this or corrections to the "status quo"?