Azure Update - 27th June 2025

Key insights

• Azure Advisor VM Right-Sizing received updates to offer improved recommendations for resizing virtual machines, helping users optimize both cost and performance.


• The new FXv2 VM series was introduced for high-performance workloads, while the retirement of the DCsv2-series VMs is planned for June 30, 2026. Customers should prepare to migrate before this date.


• Azure Front Door now supports managed SSL certificates for wildcard domains, making secure domain management easier. Additional rules engine scenarios have also been added to enhance security and application delivery.


• Premium SSD v2 and Ultra Disks can now use encryption with Cross-Tenant Customer Managed Keys in preview mode, which increases data security and control for storage solutions.


• The ongoing Azure AD Graph API retirement will cause application access loss starting September 2025. Temporary outages may occur between July and September 2025. Users must migrate to Microsoft Graph APIs as soon as possible to avoid service interruptions.


• The enhanced Partner Reported Azure Consumed Revenue (PRACR) vNext report release is rescheduled to July 11, 2025. This update gives partners more time for testing and improves revenue tracking features.

Introduction: Key Announcements in the Latest Azure Update

The most recent Azure update, summarized by John Savill's [MVP] in his June 27, 2025 video, introduces notable improvements across the Azure cloud platform. This update covers a wide spectrum, including compute, storage, networking, security, and management tools. As Azure continues to expand, these changes are intended to help users optimize resources, improve security, and prepare for upcoming transitions. Understanding the tradeoffs and challenges involved in adopting these updates is essential for organizations aiming to stay current and efficient in the cloud.

Azure Compute: Virtual Machines and Performance Enhancements

One of the primary highlights is the enhancement to Azure Advisor for virtual machine right-sizing. With the new improvements, users can expect more accurate recommendations, making it easier to balance cost with performance. However, while these suggestions can optimize expenses, there may be cases where unique workloads require manual adjustments beyond what automated tools provide.

Additionally, Azure introduces the FXv2 VM series, specifically designed for high-performance workloads. This addition expands options for customers needing greater computing power. At the same time, the announcement of the upcoming retirement of the DCsv2-series VMs by June 30, 2026, signals a transition period. Organizations relying on these older VMs must plan migrations, weighing the benefits of new features against the effort required to move existing workloads.

Networking and Security: Simplified Management and Enhanced Protection

Azure networking receives significant updates, including new configurations for Azure Front Door and an improved rules engine. These enhancements aim to streamline web application delivery and strengthen security. Furthermore, Azure Front Door now supports managed SSL certificates for wildcard domains, making it much simpler for organizations to secure multiple subdomains. While this reduces administrative overhead, some advanced users might still require custom certificate solutions for complex scenarios.

Security is further bolstered with the integration of Web Application Firewall (WAF) with Security Copilot, offering advanced threat detection capabilities. There are also updates for migrating Basic SKU Public IPs to Standard SKU on Azure VPN Gateway, which improve both network performance and security posture. However, such migrations may involve downtime and require careful planning to avoid disruptions.

Storage and Database: New Encryption and Performance Features

Azure's storage offerings also see meaningful changes. Notably, encryption for Premium SSD v2 and Ultra Disks using Cross-Tenant Customer Managed Keys is now available in preview. This provides organizations with improved control over data security, though managing encryption keys across tenants can introduce complexity and requires robust governance practices.

For database users, Azure SQL Managed Instance receives updates focused on performance and manageability. These improvements support modern database workloads but may require teams to review their existing configurations to fully leverage new capabilities.

Management Tools and API Changes: Preparing for the Future

Another significant development is the general availability of autoscaling in Azure API Management v2 tiers. This feature enables dynamic scaling in response to demand, helping to optimize costs and maintain performance during peak usage. However, organizations must carefully monitor scaling policies to avoid unexpected expenses.

A critical change affecting many developers is the ongoing retirement of Azure AD Graph APIs. Starting in September 2025, applications relying on these APIs will lose access, with temporary outages expected beforehand. Microsoft urges users to migrate to Microsoft Graph APIs immediately. While migration tools are provided, adapting existing applications can be resource-intensive and may require thorough testing to ensure compatibility.

Partner Reporting and Conclusion

For Microsoft partners, the Partner Reported Azure Consumed Revenue (PRACR) vNext report will now launch on July 11, 2025. This delay offers partners additional time to prepare and test the new reporting format, which promises more accurate tracking of Azure consumption. Nevertheless, partners may need to update internal processes to align with the revised reporting structure.

In summary, the latest Azure update reflects Microsoft's commitment to continuous improvement, balancing new features with the need for careful migration and planning. By staying informed and proactive, Azure users can make the most of these advancements, optimizing their cloud environments while navigating the challenges of change.

Keywords

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