License requirements for SharePoint Hybrid Search

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I am in the process of planning  the various tasks needed to deploy SharePoint 2016 Hybrid.   My preference is to offer our users SharePoint Hybrid search over SharePoint Federated search. Now looking at the various TechNet resources, I am sure I read somewhere that for users to see results from both on premise and cloud, they are going to need at least and Office 365 E3 License.Is this true or not?

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