Can someone expand on this subject, is it required? Was looking into building apps for rich desktop client that could be put in the windows store for Windows 8.1/RT and Phone but it seems that this requirement would make deployment for clients a nightmare. I can't image that CRM system admins would be open to registering an app every time someone decides they want to try an application. You can find the subject in the newest sdk:
Walkthrough: Register a CRM app with Active Directory
Here is the process for registering for CRM Online just for reference from the sdk:
App registration for CRM Online
Scenario: A person with a CRM Online system user account accesses organization data through a rich desktop client or mobile app.
The end user performs the following tasks:
Registers the external application in Microsoft Azure and provides a redirect URI during the registration process. The URI can be any valid and appropriate URI. The Microsoft Azure app registration process results in the generation of a client ID string.
Configures the application by entering the client ID and redirect URI in the app’s authentication code or configuration file when instructed on the Microsoft Azure app registration page.
Scenario: An ISV creates and registers an app that later published in the app store. The ISV’s customers download the app from the store and use it to connect to their Microsoft Dynamics CRM Online organization.
The ISV performs the following tasks:
Registers the app in the ISV’s tenant using the steps provided in the previous scenario (above).
Each customer that downloads the app performs the following tasks:
When accessing a CRM organization in the customer’s tenant, the customer will be presented with a consent form.
The customer reads the information on the form and clicks OK to consent.
(Optional) The customer register’s the app in the customer’s tenant.
For native apps, the customer has to consent each time he or she is prompted to authenticate again. For web apps, the customer is only asked to consent one time. The workaround to bypass the consent form is for the customer to register the app in the customer’s tenant.
Register an application with Microsoft Azure
Sign in to the Microsoft Azure management portal by using a Microsoft Office 365 account with administrator permission. Use an account in the same subscription (tenant) as you intend to register the app with.
You must sign up for a Microsoft Azure account by using a credit card if you do not have an account. However, the account is free and your credit card will not be charged if you only follow the procedures called out in this topic to register one or more apps. More information: Active Directory Pricing Details
Click or tap Active Directory in the left column of the page. You may need to scroll the left column to see the Active Directory icon and label.
Click or tap the desired tenant directory in the directory list.
List of available Active Directory entries
If your CRM tenant directory is not shown in the directory list, click or tap Add, and then select Use existing directory in the dialog box. Follow the prompts and instructions provided, and then go back to step 1.
With the target directory selected, click or tap Applications, and then click or tap Add.
In the dialog box, click or tap Add an application my organization is developing.
When prompted, enter a name for your application, click or tap a type: Web Application or Native Client Application, and then click or tap the right arrow to continue.
Continue providing the requested information and complete the app registration process.
With the tab of the newly registered app selected, click or tap Update Your Code. Insert the provided redirect URI and client ID in the authentication code of your app.
Generated client ID in Dynamics CRM
With the tab of the newly registered app selected, click or tap Configure.
Set the app permissions as shown in the figure below.