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Azure Kubernetes Service (AKS) on Azure Local

Azure Kubernetes Service (AKS) on Azure Local delivers a fully managed Kubernetes experience on-premises. Clusters are provisioned and managed through Azure Arc, giving teams cloud-consistent container orchestration while keeping workloads, data, and compute within the local infrastructure boundary.

Service Details​

What It Enables​

AKS on Azure Local allows organizations to run production Kubernetes clusters on their own hardware with the same Azure management experience used for cloud-hosted AKS. Cluster lifecycle management — creation, scaling, upgrades, and monitoring — is handled through the Azure portal, CLI, or ARM/Bicep templates via Azure Arc.

Key Use Cases​

  • Cloud-native apps on-premises — Run containerized microservices architectures in datacenters or edge locations where cloud connectivity is limited or data must remain local
  • Regulated workloads — Deploy Kubernetes workloads that must comply with data residency, sovereignty, or air-gapped operation requirements
  • Edge computing — Run lightweight Kubernetes clusters at edge sites for real-time processing, analytics, or IoT data aggregation
  • Developer consistency — Give development teams the same Kubernetes APIs and tooling (kubectl, Helm, Flux) regardless of whether clusters are in Azure or on-premises
  • Application modernization — Containerize legacy workloads and run them on Kubernetes without migrating to the public cloud

Architecture​

  • Azure Arc integration — AKS clusters on Azure Local are projected into Azure as Arc-connected resources, enabling unified management across cloud and on-premises
  • Control plane — Runs locally on Azure Local cluster nodes (no dependency on Azure for workload scheduling)
  • Networking — Supports Azure CNI and Calico for pod networking; integrates with existing datacenter networks via load balancers and VLANs
  • Storage — Persistent volumes backed by Storage Spaces Direct (S2D) on the Azure Local cluster
  • Identity — Microsoft Entra Workload ID and Azure RBAC for cluster access control

Supported Features​

  • Standard Kubernetes APIs (CNCF-conformant)
  • Multi-node and single-node cluster topologies
  • Cluster autoscaling and node pool management
  • Azure Monitor and Container Insights integration
  • Azure Policy for Kubernetes (Gatekeeper)
  • GitOps with Flux v2 (Azure Arc)
  • GPU workload scheduling (where hardware available)
  • Windows and Linux node pools

Deployment Notes​

  • Requires Azure Local infrastructure (Azure Stack HCI 23H2+ recommended)
  • Clusters are provisioned via Azure Arc; an Azure subscription is required
  • Minimum 8 GB RAM and 4 vCPUs per worker node recommended
  • Storage classes map to S2D volumes on the Azure Local cluster

Limitations​

  • Some AKS cloud add-ons (e.g., Virtual Nodes, KEDA with Azure Event sources) may not be available on-premises
  • Azure Container Registry integration requires network connectivity to Azure
  • Cluster upgrades follow the Arc-connected Kubernetes lifecycle, which may lag behind cloud AKS versions
  • Hardware and licensing requirements apply

External References​

Data verified with Microsoft Azure Local documentation, March 2026.