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Version: 2604 (Preview)

Simplified Machine Provisioning (Preview)

Runbook Azure Preview

DOCUMENT CATEGORY: Runbook SCOPE: Azure Local OS installation via simplified provisioning PURPOSE: Install OS and register machines from Azure using FIDO Device Onboarding MASTER REFERENCE: Microsoft Learn — Simplified Machine Provisioning

Status: Active

Preview Feature

Simplified machine provisioning is currently in preview. Review the Supplemental Terms of Use for Microsoft Azure Previews before using in production.

  • Supported region: East US only (preview)
  • Arc Gateway: Not supported in this preview release
  • Production recommendation: Use ISO-based installation for production deployments until this feature reaches GA

Overview

Simplified machine provisioning offers an alternative to manual ISO installation. Instead of creating boot media, connecting to each server's management interface, and manually running Windows Setup, this workflow:

  1. Prepares machines with a USB-based maintenance environment that generates FIDO Device Onboarding (FDO) ownership vouchers
  2. Provisions machines from Azure — the OS is downloaded and installed automatically, with network configuration and Azure Arc registration handled remotely
  3. Deploys the cluster using the provisioned machines, just as with ISO-based installation

This approach is most valuable when someone other than on-site staff prepares the machines (e.g., a hardware manufacturer or integrator), and on-site staff simply power them on and connect them to the network.

Community Automation — azurelocal-ztp

For a fully automated approach that bypasses the manual USB media step entirely, see the azurelocal-ztp project. It uses BMC/Redfish (iDRAC, XCC, iLO) to mount the maintenance-environment ISO as virtual media, set the boot source, and reboot — all without anyone in the rack and without physical USB media.

This is especially useful for remote or lights-out deployments where physical access is limited.


ISO vs Simplified Provisioning Comparison

AspectISO (Manual)Simplified Provisioning (Preview)
StatusGA — production supportedPreview — East US only
OS InstallationManual via iDRAC/BMC virtual consoleAutomated from Azure
Physical AccessRequired for initial ISO bootRequired for initial USB boot
Network ConfigurationManual (SConfig or PowerShell)Automated from Azure portal
Azure Arc RegistrationSeparate step (Phase 04)Included in provisioning flow
Arc Gateway Support✅ Supported❌ Not supported (preview)
Supported HardwareAll Azure Local Catalog hardwareDell AX-650/750, Lenovo MX650 V3/V4, HPE DL360 Gen11
Best ForProduction deployments, all hardwareAutomated provisioning of supported SKUs

Supported Hardware SKUs

VendorModelBMC
DellAX-650, AX-750iDRAC
LenovoThinkAgile MX650 V3, MX650 V4XCC
HPEProLiant DL360 Gen11iLO

Workflow Overview

graph TD
A[Download Maintenance ISO + USB Tool] --> B[Create USB Installation Media]
B --> C[Boot Each Server from USB]
C --> D[Maintenance Environment Generates Voucher]
D --> E[Collect Ownership Vouchers]
E --> F[Create Site in Azure Portal]
F --> G[Upload Vouchers + Configure Site]
G --> H[Azure Installs OS + Configures Network]
H --> I[Azure Arc Registration Completes]
I --> J[Machines Ready for Cluster Deployment]

Prerequisites

Hardware

RequirementDetails
Validated hardware SKUDell AX-650/750, Lenovo MX650 V3/V4, or HPE DL360 Gen11
USB flash driveAt least 8 GB, one per prep session
Windows 11 PCReliable internet connection and USB port for media creation
USB port on serversRequired for booting the maintenance environment

Azure

RequirementDetails
Feature registrationaz feature register --namespace Microsoft.DeviceOnboarding --name AzureLocalZTP
Resource providersMicrosoft.HybridCompute, Microsoft.AzureStackHCI, Microsoft.DeviceOnboarding, Microsoft.Edge, Microsoft.GuestConfiguration, Microsoft.HybridConnectivity, Microsoft.KeyVault, Microsoft.ManagedIdentity, Microsoft.PolicyInsights, Microsoft.Storage, Microsoft.Insights
PermissionsResource group Owner, or Contributor + RBAC Administrator
RegionEast US (preview limitation)

Steps in This Section

TaskDescriptionDuration
1Create USB Installation Media15 min
2Prepare Machines30 min per machine
3Provision Machines from Azure15 min + wait
4Monitor Machine Setup30–60 min
5Verify Azure Arc Connectivity10 min

Outcome

Upon completion of this section:

  • All Azure Local machines have the Azure Stack HCI OS installed
  • Network is configured automatically based on site-level settings
  • All machines are registered with Azure Arc
  • Machines are ready for Phase 03: OS Configuration or directly for cluster deployment (if the OS configuration was handled during provisioning)

Phase 02: OS Installation↑ Cluster DeploymentPhase 03: OS Configuration →

References


VersionDateAuthorChanges
1.02026-05-01Azure Local CloudInitial release — Simplified Provisioning (Preview)