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Azure subscription

blog.payperitem.com, April 18, 2025April 18, 2025

🔹 What is an Azure Subscription?

An Azure subscription is a logical container used to provision resources in Microsoft Azure. It holds the details of all the resources like virtual machines (VMs), databases, and storage accounts, and governs billing, quotas, and access control.


🔹 Azure Subscription Structure

ComponentDescription
Tenant (Azure AD)Represents an organization and houses users, groups, apps. One tenant can have multiple subscriptions.
SubscriptionBound to a tenant; it defines billing boundaries and resource limits.
Resource GroupsLogical containers in a subscription that hold related resources.
ResourcesActual services like VMs, storage, databases deployed in Azure.

🔹 Subscription Types

TypeDescriptionIdeal For
Free AccountComes with $200 credit for 30 days and limited free services for 12 months.Evaluation / Learning
Pay-As-You-GoPay for what you use, no upfront cost.Small to Medium Businesses
Enterprise Agreement (EA)Pre-committed usage with discounts, billed annually.Large Enterprises
Microsoft Customer Agreement (MCA)Replaces EA for many customers; modernized billing.Organizations with flexible use
CSP (Cloud Solution Provider)Sold through a Microsoft partner, managed billing/support.Managed Service Providers
Student, Sponsorship, MSDN, Dev/TestSpecialized offers with limits.Dev/Test, Education, MVPs

🔹 Billing and Cost Management

  • Invoices: Generated monthly per subscription.
  • Budgets and Alerts: Set thresholds to avoid overspending.
  • Azure Cost Management + Billing:
    • Analyze usage
    • Forecast future spend
    • Export cost data
  • Tags: Key-value pairs for cost allocation and tracking (e.g., Environment=Prod).

🔹 Access Management (RBAC)

Azure uses Role-Based Access Control (RBAC) to manage who can access what.

ScopeRole Examples
Management GroupAzure Administrator, Security Reader
SubscriptionContributor, Owner, Reader
Resource GroupVM Operator, Storage Contributor
ResourceSQL DB Reader, Web App Contributor

🔐 Best Practice: Use least privilege access, custom roles, and PIM (Privileged Identity Management) for elevated access.


🔹 Limits and Quotas

Each subscription has default limits, e.g.:

ResourceDefault Limit
VNets50 per region
VM Cores10-20 per region (can increase)
Storage Accounts250
Public IPs10-20

Limits can be increased via support request.


🔹 Linking Subscriptions to Tenants

  • Multiple Subscriptions, One Tenant: Common for isolating environments (Dev/Test/Prod).
  • One Subscription, One Tenant: Smaller orgs.
  • Management Groups: Used to organize multiple subscriptions under a hierarchy.

🔹 Azure Policy & Governance

  • Azure Policy: Enforce rules on resource deployments (e.g., allowed locations).
  • Blueprints: Bundle ARM templates, policies, and RBAC roles for consistency.
  • Locks: Prevent accidental deletion (ReadOnly, CanNotDelete).

🔹 Subscription Lifecycle

  1. Create subscription (via Azure portal, CSP, or EA portal)
  2. Assign roles and policies
  3. Deploy resources
  4. Monitor usage and cost
  5. Renew/terminate subscription (non-payment may lead to suspension/deletion)

🔹 Security & Compliance

  • MFA for global admins
  • Azure Defender / Security Center
  • Audit Logs (Azure Monitor, Activity Logs)
  • Compliance Offerings: ISO, SOC, HIPAA, FedRAMP, etc.

🔹 Programmatic Access

  • Azure CLI / PowerShell (az account)
  • Azure REST APIs
  • SDKs (Python, .NET, Java, etc.)
  • ARM Templates / Bicep / Terraform

Would you like a diagram of the subscription hierarchy, a comparison table between EA/CSP/MCA, or help designing a multi-subscription strategy for your organization?

4o

You said:

like a diagram of the subscription hierarchy, a comparison table between EA/CSP/MCA, or help designing a multi-subscription strategy for your organization


📊 EA vs CSP vs MCA: Comparison Table

FeatureEnterprise Agreement (EA)Cloud Solution Provider (CSP)Microsoft Customer Agreement (MCA)
Billing ModelPrepaid (commitments & overage)Partner-billedPay-as-you-go (monthly billing via Azure portal)
Who Owns Subscription?OrganizationPartner (can delegate admin)Customer (direct with Microsoft)
SupportPremier support (optional)Provided by CSP partnerAzure Standard support available
Portal AccessEA portal + Azure portalAzure portal (partner visibility)Azure portal + Cost Mgmt APIs
ContractFixed term (1-3 years)Month-to-month via partnerFlexible, rolling
Commitment LevelsYes (monetary commit)No commitmentNo commitment
Ideal ForLarge orgs with predictable spendSMBs or orgs working with a service providerEnterprises and self-managed organizations
Management Groups SupportYesYesYes
Advanced Cost MgmtEA portal reports, usage exportsPartner handles itFull Azure Cost Management

🗂 Diagram: Azure Subscription Hierarchy


🔹 Why Use Multiple Subscriptions?

PurposeBenefits
Environment SeparationIsolate Dev, Test, Prod workloads
Departmental BillingTrack costs per department/org unit
Service LimitsAvoid hitting regional/VM quotas
Security IsolationSeparate access/RBAC & policies
Compliance BoundariesMeet regulatory zones/data sovereignty

Azure Cloud

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