Cloud Computing

Service delivery model over the internet (cloud). This

includes but is not limited to
compute power meaning servers such as windows, Linux,
hosting environments, etc.
storage like files and/or databases
networking in azure but also outside when connecting to
your company network
analytics services for visualization and telemetry data
Key concepts
scalability is the ability to scale, so allocate and deallocate
resources at any time
elasticity is the ability to scale dynamically
agility is the ability to react fast (scale quickly)
fault tolerance is the ability to maintain system uptime
while physical and service component failures happen
disaster recovery is the process and design principle which
allows a system to recovers from natural or human induced
disasters
high availability is the agreed level of operational uptime
for the system. It is a simple calculation of system uptime
versus whole lifetime of the system.
availability = uptime/(uptime + downtime)
Economies of Scale
The principle of economies of scale states that as the
companies grow they become more effective at managing
shared operations. Be that HR and hiring, taxes,
accounting, internal operations, marketing, big purchases
via contracts meaning better discounts, etc. etc.
Because of those, companies can save/earn more which in
return allows for reduction in cost of their services to their
customers. This is so called ‘price per unit’.
It’s not possible to go to 0 because in the end some
underlying infrastructure needs to run to provide the
services. But the larger the scale the more benefits can be
passed to customers.
In fact, in the current scale, Microsoft can already offer
multiple services for free due to how small a fraction of the
cost it is for them.
 CapEx vs OpEx
Differences between Capital Expenditure and Operational
Expenditure

What is a consumption-based model?

The consumption-based model is a pricing model used in the cloud so that customers are only
charged based on their resource usage.

This model is characterized by

No associated upfront cost

No wasted resources as such no charges are incurred for unused resources*. Unused in this case is
different per service. For instance, blob storage that stores any data is considered to be used, as it
consumes the storage space. Virtual Machines that are running consume CPU, memory and other
resources even if there isn’t any traffic. Hence they are considered to be used and will incur charges.

Pay for what you need

Stop paying when you don’t

Consumption is the virtual metric used to calculate how much each resource (service) in Azure was
used. Each service has many smaller metrics that track its consumption to offer best possible pricing
model. Those metrics are tracked on very granular level.

Service Models responsibilities

As a service means which party will manage the particular layer and all the layers below.

Software layer consists the application (application code and set) & the application data

Platform layer means all the supporting software and the operating system required to host the
application

Infrastructure layer consists hardware the infrastructure and virtualization required to host the
platform

Layer Layer
Application Software
Data Software
Runtime Platform
 Middleware Platform
Operating System Platform
Virtualization Infrastructure
Servers Infrastructure
Networking Infrastructure
Storage Infrastructure

Responsibility Matrix
As such following table represents responsibilities

Layer On-Premises IaaS PaaS SaaS

Application You You You Cloud provider

Data You You You Cloud provider

Runtime You You Cloud provider Cloud provider

Middleware You You Cloud provider Cloud provider

Operating System You You Cloud provider Cloud provider

Virtualization You Cloud provider Cloud provider Cloud provider

Servers You Cloud provider Cloud provider Cloud provider

Networking You Cloud provider Cloud provider Cloud provider

Storage You Cloud provider Cloud provider Cloud provider

Cloud Deployment Model

Cloud Deployment Model is simple a separation which describes where are the company
resources deployed. Whenever this is in public cloud provider environment or private
datacenter.

Below table presents high level deployment model separation

Layer Cloud Provider Own Datacenter

Public ✅ ✖
Hybrid ✅ ✅
Private ✖ ✅

Public Cloud
Cloud Provider Own Datacenter
✅ ✖

Key Characteristics

 Everything runs on cloud provider hardware

 No local hardware
 Some services share hardware with other customers

Advantages

 No CapEx (No initial investment)

 High Availability
 Agility
 Pay as you Go (PAYG) pricing
 No hardware maintenance
 No deep technical skills required

Disadvantages

 Not all security and compliance policies can be met

 No ownership over the physical infrastructure
 Rare specific scenarios can’t be done

Private Cloud
Cloud Provider Own Datacenter
✖ ✅

Key Characteristics

 Everything runs on your own datacenter

 Self-service should be provided
 You maintain the hardware

Advantages

 Can support any scenario

 Total control over security and infrastructure
 Can meet any security and compliance policy

Disadvantages

 Initial investment is required (CapEx)

 Limited agility constrained by server capacity and team skills
 Very dependent on IT skills & expertise

Hybrid Cloud
Cloud Provider Own Datacenter
✅ ✅

Key Characteristics

 Combines both Public & Private cloud

Advantages

 Great flexibility
 You can run any legacy apps in private cloud
 Can utilize existing infrastructure
 Meet any security& compliance requirements
 Can take advantage of all public cloud benefits

Disadvantages

 Can be more expensive

 Complicated to manage due to larger landscape
 Most dependent on IT skills & expertise from all three models

Data Center
 Physical facility
 Hosting for group of networked servers
 Own power, cooling & networking infrastructure

Region
 Geographical area on the planet
 One but usually more datacenters connected with low-latency network (<2
milliseconds)
 Location for your services
 Some services are available only in certain regions
 Some services are global services, as such are not assigned/deployed in specific
region
 Globally available with 50+ regions
 Special government regions (US DoD Central, US Gov Virginia, etc.)
 Special partnered regions (China East, China North)

Availability Zone
 Regional feature
 Grouping of physically separate facilities
  Designed to protect from data center failures
 If zone goes down others continue working
 Two service categories
o Zonal services (Virtual Machines, Disks, etc.)
o Zone-redundant services (SQL, Storage, etc.)
 Not all regions are supported
 Supported region has three or more zones
 A zone is one or more data centers

Region Pair
 Each region is paired with another region making it a region pair
 Region pairs are static and cannot be chosen
 Each pair resides within the same geography*
o Exception is Brazil South
 Physical isolation with at least 300 miles distance (when possible)
 Some services have platform-provided replication
 Planned updates across the pairs
 Data residency maintained for disaster recovery

Region Pair A Region Pair B

East US West US
UK West UK South
North Europe (Ireland) West Europe (Netherlands)
East Asia (Hong Kong) Southeast Asia (Singapore)

Geographies
 Discrete market
 Typically contains two or more regions
 Ensures data residency, sovereignty, resiliency, and compliance requirements are
met
 Fault tolerant to protect from region wide failures
 Broken up into areas
o Americas,
o Europe,
o Asia Pacific,
o Middle East and Africa
 Each region belongs only to one Geography

Azure Resource
 Object used to manage services in Azure
 Represents service lifecycle
  Saved as JSON definition

Resource Groups
 Grouping of resources
 Holds logically related resources
 Typically organizing by
o Type
o Lifecycle (app, environment)
o Department
o Billing,
o Location or
o combination of those

Resource Manager
 Management Layer for all resources and resource groups
 Unified language
 Controls access and resources

Additional Info

 Each resource must be in one, and only one resource group

 Resource groups have their own location assigned
 Resources in the resource groups can reside in a different locations
 Resources can be moved between the resource groups
 Resource groups can’t be nested
 Organize based on your organization needs but consider
o Billing
o Security and access management
o Application Lifecycle

Virtualization

 Emulation of physical machines

 Different virtual hardware configuration per machine/app
 Different operating systems per machine/app
 Total separation of environments
o file systems,
o services,
o ports,
o middleware,
o configuration

Virtual Machines
  Infrastructure as a Service (IaaS)
 Total control over the operating system and the software
 Supports marketplace and custom images
 Best suited for
o Custom software requiring custom system configuration
o Lift-and-shift scenarios
 Can run any application/scenario
o web apps & web services,
o databases,
o desktop applications,
o jumpboxes,
o gateways, etc.

Virtual Machine Scale Sets

 Infrastructure as a Service (IaaS)
 Set of identical virtual machines
 Built-in auto scaling features
 Designed for manual and auto-scaled workloads like web services,* batch processing, etc.

Containers

 Use host’s operating system

 Emulate operating system (VMs emulate hardware)
 Lightweight (no O/S)
o Development Effort
o Maintenance
o Compute & storage requirements
 Respond quicker to demand changes
 Designed for almost any scenario

Azure Container Instances

 Simplest and fastest way to run a container in Azure
 Platform as a Service
 Serverless Containers
 Designed for
o Small and simple web apps/services
o Background jobs
o Scheduled scripts

Azure Kubernetes Service (AKS)

 Open-source container orchestration platform
 Platform as a Service
 Highly scalable and customizable
 Designed for high scale container deployments (anything really!)

App Service
  Designed as enterprise grade web application service
 Platform as a Service
 Supports multiple programming languages and containers

Azure Functions (Function Apps)

 Platform as a Service
 Serverless
 Two hosting/pricing models
o Consumption-based plan
o Dedicated plan
 Designed for micro/nano-services

Summary

 Virtual Machines (IaaS) - Custom software, custom requirements, very specialized, high
degree of control
 VM Scale Sets (IaaS) - Auto-scaled workloads for VMs
 Container Instances (PaaS) - Simple container hosting, easy to start
 Kubernetes Service (PaaS) - Highly scalable and customizable * container hosting platform
 App Services (PaaS) - Web applications, a lot of enterprise web * hosting features, easy to
start
 Functions (PaaS) (Function as a Service) (Serverless) - micro/nano-services, excellent
consumption-based pricing, easy to start

Skills Learned

 Skills Learned
o Describe products available for Networking such as
 Virtual Network,
 Load Balancer,
 VPN Gateway,
 Application Gateway and
 Content Delivery Network

Azure Networking
 Connect cloud and on-premises
 On-premise networking functionality

Azure Virtual Network

 Logically isolated networking components

 Segmented into one or more subnets
 Subnets are discrete sections
 Enable communication of resources with each-other, internet and on-premises
 Scoped to a single region
  VNet peering allow cross region communication
 Isolation, Segmentation, Communication, Filtering, Routing

Azure Load Balancer

 Even traffic distribution

 Supports both inbound and outbound scenarios
 High-availability scenarios
 Both TCP (transmission control protocol) and UDP (user datagram protocol) applications
 Internal and External traffic
 Port Forwarding
 High scale with up to millions of flows

VPN Gateway

 Specific type of virtual network gateway for on-premises to azure traffic over the public
internet

Application Gateway

 Web traffic load balancer

 Web application firewall
 Redirection
 Session affinity
 URL Routing
 SSL termination

Content Delivery Network

 Define content
 Minimize latency
 POP (points of presence) with many locations

Data Types
 Structured - Data that can be represented using tables with very strict schema. Each
row must follow defined schema. Some tables have defined relationships between
them. Typically used in relational databases.
 Semi-structured - Data that can be represented using tables but without strict defined
schema. Rows must only have unique key identifier.
 Unstructured - Any files in any format. Like binary files, application files, images,
movies, etc.

Storage Account
 Group of services which include
o blob storage,
o queue storage,
o table storage, and
 o file storage
 Used to store
o files,
o messages, and
o semi-structured data
 Highly scalable (up to petabytes of data)
 Highly durable (99.999999999% - 11 nines, up to 16 nines)
 Cheapest per GB storage

Blob Storage
 BLOB – binary large object – file
 Designed for storage of files of any kind
 Three storage tiers
o Hot – frequently accessed data
o Cool – infrequently accessed data (lower availability, high durability)
o Archive – rarely (if-ever) accessed data

Queue Storage
 Storage for small pieces of data (messages)
 Designed for scalable asynchronous processing

Table Storage
 Storage for semi-structured data (NoSQL)
o No need for foreign joins, foreign keys, relationships or strict schema
o Designed for fast access
 Many programming interfaces and SDKs

File Storage
 Storage for files accessed via shared drive protocols
 Designed to extend on-premise file shares or implement lift-and-shift scenarios

Disk Storage
 Disk emulation in the cloud
 Persistent storage for Virtual Machines
 Different
o sizes,
o types (SSD, HDD)
o performance tiers
 Disk can be unmanaged or managed

Data Types
  Structured - Data that can be represented using tables with very strict schema. Each
row must follow defined schema. Some tables have defined relationships between
them. Typically used in relational databases.
 Semi-structured - Data that can be represented using tables but without strict defined
schema. Rows must only have unique key identifier.
 Unstructured - Any files in any format. Like binary files, application files, images,
movies, etc.

Cosmos DB
 Globally distributed NoSQL (semi-structured data) Database service
 Schema-less
 Multiple APIs (SQL, MongoDB, Cassandra, Gremlin, Table Storage)
 Designed for
o Highly responsive (real time) applications with super low latency responses
<10ms
o Multi-regional applications

SQL Database
 Relational database service in the cloud (PaaS) (DBaaS - Database as a Service)
 Structured data service defined using schema and relationships
 Rich Query Capabilities (SQL)
 High-performance, reliable, fully managed and secure database for building -
applications

Azure SQL product family

 Azure SQL Database – Reliable relational database based on SQL Server
 Azure Database for MySQL – Azure SQL version for MySQL database engine
 Azure Database for PostgreSQL – Azure SQL version for PostgreSQL database
engine
 Azure SQL Managed Instance – Fully fledged SQL Server managed by cloud
provider
 Azure SQL on VM – Fully fledged SQL Server on IaaS
 Azure SQL DW (Synapse) – Massively Parallel Processing (MPP) version of SQL
Server

Azure Marketplace
 Think of it like an “Azure Shop” where you purchase services and solutions for the
Azure platform
 Each product is a template which contains one or multiple services
 Products are delivered by first and third-party vendors
 Solutions can leverage all service categories like IaaS, PaaS and SaaS

What is Internet of Things?

Internet of Things (IoT) is a network of internet connected devices (IoT Devices) embedded
in everyday objects enabling sending and receiving data such as settings and telemetry.

Azure Iot Hub

 Managed service for bi-directional communication
 Platform as a Service (PaaS)
 Highly secure, scalable and reliable
 Integrates with a lot of Azure Services
 Programmable SDKs for popular languages (C, C#, Java, Python, Node.js)
 Multiple protocols (HTTPS, AMQP, MQTT)

Azure IoT Central

 IoT App Platform - Software as a Service (SaaS)
 Industry specific app templates
 No deep technical knowledge required
 Service for connecting, management and monitoring IoT devices
 Highly secure, scalable and reliable
 Built on top of the IoT Hub service and 30+ other services

Azure Sphere
 Secure end-2-end IoT Solutions
o Azure Sphere certified chips (microcontroller units - MCUs)
o Azure Sphere OS based on Linux
o Azure Security Service trusted device-to-cloud communication

What is Big Data?

Big Data is a field of technology that helps with the extraction, processing and analysis of
information that is too large or complex to be dealt with by traditional software.

The three V’s rule

Big data typically has one of the following characteristics

 Velocity - how fast the data is coming in or how fast we are processing it
o Batch
o Periodic
o Near Real Time
o Real Time
 Volume - how much data we are processing
o Megabytes
o Gigabyte
o Terabytes
o Petabytes
 Variety - how structured/complex the data is
 o Tables
o Databases
o Photo, Audio
o Video, Social Media

Azure Synapse Analytics

 Big data analytics platform (PaaS)
 Multiple components
o Spark
o Synapse SQL
 SQL pools (dedicated – pay for provisioned performance)
 SQL on-demand (ad-hoc – pay for TB processed)
o Synapse Pipelines (Data Factory – ETL)
o Studio (unified experience)

Azure HDInsight
 Flexible multi-purpose big data platform (PaaS)
 Multiple technologies supported (Hadoop, Spark, Kafka, HBase, Hive, Storm, Machine
Learning)

Azure Databricks
 Big data collaboration platform (PaaS)
 Unified workspace for notebook, cluster, data, access management and collaboration
 Based on Apache Spark
 Integrates very well with common Azure data services

What is Artificial Intelligence?

Artificial Intelligence (AI) is the simulation of human intelligence & capabilities by

computer software.

What is Machine Learning?

Machine Learning is a subcategory of AI where a computer software is “taught” to draw

conclusions and make predictions from data.

Azure Machine Learning

 Cloud-based platform for creating, managing and publishing machine learning models
 Platform as a Service (PaaS)
 Machine Learning Workspace – top level resource
 Machine Learning Studio – web portal for end-2-end development
 Features
o Notebooks – using Python and R
 o Automated ML – run multiple algorithms/parameters combinations, choose the best
model
o Designer – graphical interface for no-code development
o Data & Compute – management of storage and compute resources
o Pipelines – orchestrate model training, deployment and management tasks

What is Serverless?

Serverless computing is cloud-hosted execution environment that allows customers to run

their applications in the cloud while completely abstracting underlying infrastructure.

Azure Functions
 Serverless coding platform (Functions as a Service, FaaS)
 Designed for nano-service architectures and event-based applications
 Scales up and down very quickly
 Highly scalable
 Supports popular languages and frameworks (.NET & .NET Core, Java, Node.js, Python,
PowerShell, etc.)

Azure Logic Apps

 Serverless enterprise integration service (PaaS)
 200+ connectors for popular services
 Designed for orchestration of
o business processes,
o integration workflows for applications, data, systems and services
 No-code solution

Azure Event Grid

 Fully managed serverless event routing service
 Uses publish-subscribe model
 Designed for event-based and near-real time applications
 Supports dozen of built-in events from most common Azure services

What is DevOps?
DevOps is a set of practices that combine both development (Dev) and operations (Ops).

DevOps aims to shorten the development life cycle by providing continuous integration
and delivery (CI/CD) capabilities while ensuring high quality of deliverables.

Azure DevOps
 Collection of services for building solutions using DevOps practices
 Services included
o Boards – tracking work
 o Pipelines – building CI/CD workflows (build, test and deploy apps)
o Repos – code collaboration and versioning with Git
o Test Plans – manual and exploratory testing
o Artifacts – manage project deliverables
 Extensible with Marketplace – over 1000 of available apps
 Evolved from TFS (Team Foundation Server), through VSTS (Visual Studio Team
Services)

Azure DevTest Labs

 Service for creation of sandbox environments for developers/testers (PaaS)
 Quick setup of self-managed virtual machines
 Preconfigured templates for VMs
 Plenty of additional artifacts (tools, apps, custom actions)
 Lab policies (quotas, sizes, auto-shutdowns)
 Share and automate labs via custom images
 Premade plugins/API/tools for CI/CD pipeline automation

Azure Portal
 Public web-based interface for management of Azure platform
 Designed for self-service
 Customizable
 Simple tasks

Azure PowerShell
 PowerShell and module
 Designed for automation
 Multi-platform with PowerShell Core
 Simple to use
o Connect-AzAccount – log into Azure
o Get-AzResourceGroup – list resource groups
o New-AzResourceGroup – create new resource group
o New-AzVm – create virtual machine

Azure CLI
 Command Line Interface for Azure
 Designed for automation
 Multi-platform (Python)
 Simple to use
o az login – log into Azure
o az group list – list resource groups
o az group create – create new resource group
o az vm create – create virtual machine
 Native OS terminal scripting
Azure Cloud Shell
 Cloud-based scripting environment
 Completely free
 Supports both Azure PowerShell and Azure CLI
 Dozen of additional tools
 Multiple client interfaces
o Azure Portal integration (portal.azure.com)
o Shell Portal (shell.azure.com)
o Visual Studio Code Extension
o Windows Terminal
o Azure Mobile App
o Microsoft Docs integration

Azure Advisor
 Personalized consultant service
 Designed to provide recommendations and best practices for
o Cost (SKU sizes, idle services, reserved instances, etc.)
o Security (MFA settings, vulnerability settings, agent installations, etc.)
o Reliability (redundancy settings, soft delete on blobs, etc.)
o Performance (SKU sizes, SDK versions, IO throttling, etc.)
o Operational Excellence (service health, subscription limits, etc.)
 Actionable recommendations
 Free!

Network Security Groups

 Designed to filter traffic to (inbound) and from (outbound) Azure resources located
in - Azure Virtual Network
 Filtering controlled by rules
 Ability to have multiple inbound and outbound rules
 Rules are created by specifying
o Source/Destination (IP addresses, service tags, application security groups)
o Protocol (TCP, UDP, any)
o Port (or Port Ranges, ex. 3389 – RDP, 22 – SSH, 80 HTTP, 443 HTTPS)
o Direction (inbound or outbound)
o Priority (order of evaluation)

Application Security Groups

 Feature that allows grouping of virtual machines located in Azure virtual network
 Designed to reduce the maintenance effort (assign ASG instead of the explicit IP
address)

Routing
Process of finding/selecting a path for traffic in one or across multiple networks.

User-defined Routes
 Custom (user-defined, static) routes (UDRs)
 Designed to override Azure’s default routing or add new routes
 Managed via Azure Route Table resource
 Associated with a zero or more Virtual Network subnets

Firewall
Firewall is a network security service that monitors and controls incoming and outgoing
traffic.

Azure Firewall
 Managed, cloud-based firewall service (PaaS, Firewall as a Service)
 Built-in high availability
 Highly Scalable
 Inbound & outbound traffic filtering rules
 Support for FQDN (Fully Qualified Domain Name), ex. microsoft.com
 Fully integrated with Azure monitor for logging and analytics

DoS - Denial of Service

Cyber-attack with intent to cause temporary or indefinite disruption of service

DDoS - Distributed Denial of Service

DoS attack that is originating from multiple servers

Azure DDoS Protection

 DDoS protection service in Azure
 Designed to
o Detect malicious traffic and block it while allowing legitimate users to connect
o Prevent additional costs for auto-scaling environments
 Two tiers
o Basic – automatically enabled for Azure platform
o Standard – additional mitigation & monitoring capabilities for Azure Virtual Network
resources
 Standard tier uses machine learning to analyze traffic patterns for better accuracy

Identity
 A user with a username and password.
 Also applications or other servers with secret keys or certificates.
  The fact of being something or someone.

Authentication

The process of verification/assertion of identity

Authorization

The process of ensuring that only authenticated identities get access to the resources for
which they have been granted access.

Access Management

The process of controlling, verifying, tracking and managing access to authorized users
and applications.

Azure Active Directory

 Identity and Access Management service in Azure
 Identities management – users, groups, applications
 Access management – subscriptions, resource groups, roles, role assignments,
authentication & authorization settings, etc.
 Used by multiple Microsoft cloud platforms
o Azure
o Microsoft 365
o Office 365
o Live.com services (Skype, OneDrive, etc.)

Multi-factor Authentication (MFA)

 Process of authentication using more than one factor (evidence) to prove identity
 Factor types
o Knowledge Factor – “Something you know”, ex. password, pin
o Possession Factor – “Something you have”, ex. phone, token, card, key
o Physical Characteristic Factor – “Something you are”, ex. fingerprint, voice, face, eye
iris
o Location Factor – “Somewhere you are”, ex. GPS location
 Supported by Azure AD by default (simple on-off switch)

Identity
 Centralized/unified infrastructure and platform security management service
 Natively embedded in Azure services
 Integrated with Azure Advisor
 Two tiers
o Free (Azure Defender OFF) – included in all Azure services, provides
continuous assessments, security score, and actionable security
recommendations
 o Paid (Azure Defender ON) – hybrid security, threat protection alerts,
vulnerability scanning, just in time (JIT) VM access, etc.

Azure Key Vault

 Managed service for securing sensitive information (application/platform) (PaaS)
 Secure storage service for
o Keys,
o Secrets and
o Certificates
 Highly integrated with other Azure services (VMs, Logic Apps, Data Factory, Web
Apps, etc.)
 Centralization
 Access monitoring and logging

What is a Role?
Role (role definition) is a collection of actions that the assigned identity will be able to
perform.

Role definition is an answer to a question “What can be done?”

What is a Security Principal?

Security Principal is an Azure object (identity) that
can be assigned to a role (ex. users, groups or applications).

Security Principal assignment is an answer to a question “Who can do it?”

What is a Scope?
Scope is one or more Azure resources that the access applies to.

Scope assignment is an answer to a question “Where can it be done?”

What is a Role Assignment?

Role assignment is a combination of the role definition, security principal and scope.

Azure Role-based Access Control (RBAC)

 Authorization system built on Azure Resource Manager (ARM)
 Designed for fine-grained access management of Azure Resources
 Role assignment is combination of
o Role definition – list of permissions like create VM, delete SQL, assign permissions,
etc.
o Security Principal – user, group, service principal and managed identity and
 o Scope – resource, resource groups, subscription, management group
 Hierarchical
o Management Groups > Subscriptions > Resource Groups > Resources
 Built-in and Custom roles are supported

What is an Azure Resource Lock?

 Designed to prevent accidental deletion and/or modification
 Used in conjunction with RBAC
 Two types of locks
o Read-only (ReadOnly) – only read actions are allowed
o Delete (CanNotDelete) – all actions except delete are allowed
 Scopes are hierarchical (inherited)
o Subscriptions > Resource Groups > Resources
 Management Groups can’t be locked
 Only Owner and User Access Administrator roles can manage locks (built-in roles)

Azure Resource Tags

 Tags are simple Name (key) - Value pairs
 Designed to help with organization of Azure resources
 Used for resource governance, security, operations management, cost
management, automation, etc.
 Typical tagging strategies
o Functional – mark by function ( ex: environment = production )
o Classification – mark by policies used ( ex: classification = restricted )
o Finance/Accounting – mark for billing purposes ( ex: department = finance )
o Partnership – mark by association of users/groups ( ex: owner = adam )
 Applicable for resources, resource groups and subscriptions
 NOT inherited by default

Azure Resource Tags

 Tags are simple Name (key) - Value pairs
 Designed to help with organization of Azure resources
 Used for resource governance, security, operations management, cost
management, automation, etc.
 Typical tagging strategies
o Functional – mark by function ( ex: environment = production )
o Classification – mark by policies used ( ex: classification = restricted )
o Finance/Accounting – mark for billing purposes ( ex: department = finance )
o Partnership – mark by association of users/groups ( ex: owner = adam )
 Applicable for resources, resource groups and subscriptions
 NOT inherited by default

Azure Resource Tags

 Tags are simple Name (key) - Value pairs
  Designed to help with organization of Azure resources
 Used for resource governance, security, operations management, cost
management, automation, etc.
 Typical tagging strategies
o Functional – mark by function ( ex: environment = production )
o Classification – mark by policies used ( ex: classification = restricted )
o Finance/Accounting – mark for billing purposes ( ex: department = finance )
o Partnership – mark by association of users/groups ( ex: owner = adam )
 Applicable for resources, resource groups and subscriptions
 NOT inherited by default

Cloud adoption
Cloud adoption is a strategic move by an organization to leverage cloud in their business

Cloud Adoption Framework

Cloud Adoption Framework for Azure is a set of

 tools,
 best practices,
 guidelines and
 documentation

prepared by Microsoft to help companies with their cloud adoption journey.

Strategy
1. Understand your motivation

 Answer the question WHY MOVE?

 Common Motivation Triggers include
o Migration
 Cost Savings on infrastructure
 Reduction in complexity
 Operation optimization
 Increased business agility
o Innovation
 Reaching a global scale
 Customer experience improvements
 Transformation of products or services
 Market disruption

2. Business Outcome

 Answer the question WHAT TO MEASURE?

 Defined, concise and observable outcome captured by a specific measure, for example
o Increase in revenue
o Increase in profit
 o Cost reduction
o Global access to customers
o Reaching new markets

3. Business Justification

 Answer the question WHAT’S MY RETURN ON INVESTMENT?

 Develop a business case to validate the financial model that supports your motivations and
outcomes
 Tools that support this process are
o Azure TCO (Total Cost of Ownership) calculator - estimate current on-prem costs
o Azure Pricing Calculator - estimate future Azure costs
o Azure Cost Management - see current Azure costs

4. First Project

 Choose first project to validate your strategy (Proof of concept - POC) based on
o Business Criteria
 Currently operating
 Dedicated owner
 Strong motivation to move
o Technical Criteria
 Minimum dependencies and assets

Plan
1. Digital Estate (INVENTORY OF ASSETS)
o Review current landscape and list all projects/solutions (digital assets)
o Choose one of the five (5) R’s of rationalization
 Rehost - move as is; typically into containers or IaaS (virtual machines)
 Refactor - make small code changes and move to PaaS (ex. Azure SQL, Azure
App Service, etc.)
 Rearchitect - make complex code changes to introduce new features or fix
incompatible apps
 Rebuild - create a new application using cloud first design
 Replace - review available SaaS solutions and replace legacy or unneeded
applications
2. Initial Organization Alignment
o Align people so they will support your adoption plan
o Map people to capabilities
3. Skills Readiness Plan
o Review current skills and address the gaps
4. Cloud Adoption Plan - combine everything from steps 1 to 3 into a single cloud adoption plan

Ready
1. Azure Setup Guide - Review the Azure setup guide to become familiar with the tools and
approaches you need to use to create a landing zone.
2. Azure Landing Zone - Choose an appropriate Azure Subscription type that best suits your
needs and establish an initial Azure environment.
 3. Extend Landing Zone - Expand the initial landing zone to fit your business needs.
4. Best Practices - Review everything and ensure best practices are followed.

Adopt
Migrate

1. First Migration - migrate your first application to familiarize yourself with the cloud,
guidelines and tools
2. Migration Scenarios - review and prepare migration scenarios/guidelines for your company
o Virtual Machines - Linux, Windows, etc.
o Apps - Java, .NET, NodeJS web apps, etc.
o Data - SQL Server, PostreSQL, File Servers, etc.
o Other - VMware, Azure Stack, etc.
3. Best Practices - address common migration needs through the application of consistent best
practices.
4. Process Improvements - important part of this porcess heavy activity is to identify
bottlenecks and improve with every migration

Innovate

1. Business Value Consensus (VALUE TO STRATEGY)

1. Create hypothetical customer need
2. Decide on solution that solves it
3. Map this to your strategy
2. Innovation Guide (TOOLS) - choose available Azure tools that will help your build this
application
3. Best Practices - verify that best practices are followed for all tools in the toolchain
4. Process Improvements - gather feedback from the users and the customers to improve
architectural decisions and future products

Govern & Manage

1. Define governance solutions - Choose solutions to maintain compliance, security and ensure
total control of the environment.
o Those solutions should focus to
 Address Business Needs
 Provide Agility
 Control Risks
2. Manage cloud environment (CLOUD OPERATIONS) - Hand over solutions and environment to
cloud operations team for maintenance. Team should ensure that stability and costs are
always in perfect balance to meet business commitments. Team should allow environment
to grow, evolve and adapt to changing business needs.

Organize
Ensure that everyone knows what to do and when to do it for every stage in this process. One
of the ways to achieve this is via RACI (Responsible, Accountable, Consulted, and Informed)
matrix.
 Document/Website Info Offers Audience
All Microsoft offers
including services, Everyone - end
Microsoft Privacy Collection, Purpose and
applications, customers or
Statement Usage of Personal Data
websites, software, companies
servers, devices
Licensing Terms (legal Microsoft Online
agreement) - usage rights Services like Azure,
Online Services Organizations - legal
about Azure services. Microsoft 365
Terms (OST) teams
What can be done and services, Bing Maps,
what is forbidden. etc.
Appending to OST
describing obligations by Microsoft Online
both parties (Microsoft Services like Azure,
Data Protection Organizations - legal
and you) with regards to Microsoft 365
Addendum teams, security teams
the processing of services, Bing Maps,
customer and personal etc.
data
One stop shop web portal Microsoft Online
Organizations - legal
for everything related to Services like Azure,
teams, security teams,
Trust Center security, compliance, Microsoft 365
business managers,
privacy, policies, best services, Bing Maps,
administrators
practices, etc. etc.
Web portal focusing on
Organizations - legal
compliance offerings in
Azure Compliance teams, security teams,
Azure, simmilar to the Azure
Documentation business managers,
trust center but narrowed
Azure administrators
down

Azure Sovereign Regions

Azure Sovereign Regions provide Azure services in markets with very strict regulatory
requirements

 Azure Government designed for the US government

o Separate instance of Azure (lifecycle, services, portal, etc.)
o Physically isolated from other Azure regions
o Only autorized scanned personel can get access
 Azure China designed for the Chinese market
o Separate instance of Azure (lifecycle, services, portal, etc.)
o Physically isolated from other Azure regions
o Operated by a Chinese telecom company called 21Vianet

Cost Affecting Factors

 Base Cost
o Resource Types – All Azure services (resources) have resource-specific
pricing models. Typically consisting of one or more metrics.
 o Services – Azure specific offers (Enterprise, Web Direct, CSP, etc.) have
different cost and billing components like prepaids, billing cycles, - discounts,
etc.
o Location – running Azure services vary between Azure regions
o Bandwidth – network traffic when uploading (inbound/ingress) data to Azure
or downloading (outbound/egress) from Azure
 Savings
o Reserved Instances
o Hybrid Benefits

Azure Reservations
Purchase Azure services for 1 or 3 years in advance with a significant discounts

 Reserved instances – Azure Virtual Machines

 Reserved capacity – Azure Storage, SQL Database vCores, Databricks DBUs,
Cosmos DB RUs
 Software plans – Red Hat, Red Hat OpenShift, SUSE Linux, etc.
 Reservations are made for 1 or 3 years

Azure Spot VMs

Purchase unused Virtual Machine capacity for significant discount

 How it works
o Significant dicount for Azure VMs
o Capacity can be taken away at any time
o Customer can set maximum price after discount to keep or evict the machine
 Best for interruptable workloads (batch processing, dev/test environments, large
compute workloads, non-critical tasks, etc.)

Hybrid use Benefit

Use existing licenses in the cloud

 Use existing licenses in the Azure

o Windows Server
 Azure VM
o RedHat
 Azure VM
o SUSE Linux
 Azure VM
o SQL Server
 Azure SQL Database
 Azure SQL Managed Instance
 Azure SQL Server on VM
 Azure Data Factory SQL Server Integration Services
Tools
 Pricing calculator – estimate the cost of Azure services
o Select service
o Adjust parameters (usage)
o View the price
 Total Cost of Ownership (TCO) calculator – estimate and compare the cost of
running workloads in datacenter versus Azure
o Define your workloads
o Adjust assumptions
o View the report

Azure Cost Management

 A centralized service for reporting usage and billing of Azure environment
 Self-service cost exploration capabilities
 Budgets & alerts
 Cost recommendations
 Automated exports

Minimizing Costs in Azure

1. Azure Pricing Calculator to choose the low-cost region
o Good latency
o All required services are available
o Data sovereignty/compliance requirements
2. Hybrid use benefit and Azure Reservations
3. Azure Cost Management monitoring, budgets, alerts and recommendations
4. Understand service lifecycle and automate environments
5. Use autoscaling features to your advantage
6. Azure Monitor to find and scale down underutilized resources
7. Use tags & policies for effective governance

SLA
Service Level Agreement (SLA) is a formal agreement between a service provider and a
customer.

SLA is a promise of a service’s availability (uptime & connectivity). Availability is a

measure of time that a service remains operational.

 Each Service has its own SLA

 Ranges from 99% to 99.999%
 Free services typically don’t have an SLA
 Broken SLA means service credit return (discount)
 SLA Monthly Downtime

99% 7h 18m 17s

99.5% 3h 39m 8s

99.9% 43m 49s

99.95% 21m 54s

99.99% 4m 22s

99.999% 26s

Formulas
Logical AND - adding dependency

Availability of S1 AND S2 = Availability(S1) * Availability(S2)

Scenario - Azure website with SQL backend db

 Availability = Availability(web) app * Availability(sql)

 Availability = 99.95% * 99.95%
 Availability = 0.9995 * 0.9995
 Availability = 0.99900025
 Availability ~ 99.9%

Logical OR - adding redundancy

Availability of S1 OR S2 = 100% - ( Unvailability(S1) * Unvailability(S2) )

Scenario - Two redundant web apps behind a load balancer

 Availability(both-web) = 100% - ( Unvailability(web1) * Unvailability(web2) )

 Availability(both-web) = 100% - ( 0.05% * 0.05% )
 Availability(both-web) = 1 – ( 0.0005 * 0.0005 )
 Availability(both-web) = 1 – 0.00000025
 Availability(both-web) = 0.99999975
 Availability(both-web) ~ 99.9999%

Key Items
 Formal agreement between Microsoft & the customer
 Calculated as a percentage of service availability (uptime & connetivity) (a promise)
 Breaking the SLA provides a discount from the final monthly bill (Service Credit)
 Higher tier services offer better SLAs
 Free services typically have no SLA (0% SLA)
  Preview services have no SLA
 Composite SLA is a combined SLA of all application components

Service Lifecycle

 Every service in Azure follows its own service lifecycle

 Public preview is a ‘beta’ stage of the service available to general public use
 Features can also be in preview stages
 Designed for testing, not production solutions
 General availability is a ‘production’ release of the service

Public Preview Key Info

 No SLA
 Some services have no support coverage
 Limited region availability
 Limited functionality
 Pricing changes
 Direction changes
 Azure Portal Previews (https://preview.portal.azure.com)