Linked Servers on Microsoft platforms utilize the Tabular Data Stream (TDS) protocol, which is commonly blocked by hosted/managed providers. We had this initial issue as well on the Amazon AWS SQL RDS platform that was affecting several of our in-house applications from migrating over to AWS. So after a few months of research and several proof of concepts later, I was successful on implementation of a solution using a 3rd party app (along with a unique configuration I designed). Then after finding posts like this, I found that my solution can be applied to Azure managed instances as well to connect to on-premise hosts. I would test it on Google Cloud as well, but found they don't support SQL Server... yet, but I am betting the solution will work there as well.