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Deployment Methods

Runbook Azure

DOCUMENT CATEGORY: Reference SCOPE: Deployment method selection guide PURPOSE: Choose the appropriate deployment method for your environment

Status: Active Last Updated: 2026-03-08

Overview​

Azure Local clusters can be deployed using different methods and authentication types. This guide helps you select the appropriate deployment path for your environment.

Authentication Types​

TypeDescriptionUse Case
Active DirectoryDomain-joined deployment using AD accountsEnterprise environments with existing AD infrastructure
Local IdentityLocal Windows accounts with Azure Key Vault integrationEdge deployments or environments without AD
Local Identity is in Preview

Local Identity with Azure Key Vault deployment is currently in preview. It is not yet generally available. Review the Microsoft preview terms before using in production.

Azure Local Cloud Recommendation

For Azure Local Cloud Azure Local deployments, Active Directory with ARM Template is the standard approach for consistency and repeatability.

Deployment Methods Matrix​

AuthenticationPortalARM TemplateRecommendation
Active Directory✅ Supported✅ SupportedARM Template for production
Local Identity✅ Supported✅ SupportedPortal for edge deployments

Active Directory Deployment​

Enterprise deployments using domain-joined nodes with Active Directory authentication.

Prerequisites​

  • Run New-HciAdObjectsPreCreation to create the OU, LCM user account, and block GPO inheritance at the OU level
  • LCM user password must be ≥14 characters with lowercase, uppercase, numeral, and special character (cannot use admin as username)
  • Nodes must NOT be domain-joined before deployment — all nodes must be in workgroup state
  • DNS resolves the AD domain FQDN from all nodes
  • WinRM (WS-MAN port 5985) open bi-directionally between all nodes for inter-node cluster communication
  • If a firewall exists between Azure Local nodes and AD, firewall rules must permit AD communication

Deployment Options​

MethodDescriptionLink
PortalInteractive wizard-based deploymentAD - Portal Deployment
ARM TemplateInfrastructure-as-code deploymentAD - ARM Template

Local Identity Deployment​

Deployments using local Windows accounts, suitable for edge scenarios or environments without Active Directory.

Prerequisites​

  • Non-built-in local administrator account (NOT the built-in Administrator) with identical credentials on ALL nodes — added to local Administrators group on each node
  • Account password must be ≥14 characters with lowercase, uppercase, numeral, and special character
  • Static IP addresses configured on all nodes — DHCP is not supported
  • DNS server with Host A records for each node AND for the cluster system itself
  • WinRM (WS-MAN port 5985) open bi-directionally between all nodes for inter-node cluster communication
  • SSH enabled on each node (required for Azure portal Arc-based remote access)
  • Azure Key Vault accessible (existing KV, or created during the portal deployment wizard)
Windows Admin Center not supported

Windows Admin Center is not supported in Local Identity with Key Vault environments. Use PowerShell or the Azure portal for administrative tasks.

Deployment Options​

MethodDescriptionLink
PortalInteractive wizard-based deploymentLocal Identity - Portal
ARM TemplateInfrastructure-as-code deploymentLocal Identity - ARM Template

Decision Tree​

graph TD
 A[Start Deployment] --> B{Active Directory Available?}
 B -->|Yes| C{Need Automation/Repeatability?}
 B -->|No| D[Local Identity]
 C -->|Yes| E[AD - ARM Template]
 C -->|No| F[AD - Portal]
 D --> G{Need Automation?}
 G -->|Yes| H[Local - ARM Template]
 G -->|No| I[Local - Portal]
 
 E --> J[Production Standard]
 F --> K[Learning/POC]
 H --> L[Automated Edge]
 I --> M[Simple Edge]

Method Comparison​

Portal Deployment​

AspectDescription
ProsVisual interface, guided wizard, real-time validation
ConsManual, not repeatable, requires interactive session
Best ForLearning, troubleshooting, single deployments

ARM Template Deployment​

AspectDescription
ProsRepeatable, version controlled, CI/CD integration
ConsRequires template knowledge, initial setup time
Best ForProduction, multi-site, enterprise deployments

Quick Start​

Azure Local Cloud Standard Deployment​

For standard Azure Local Cloud Azure Local deployments:

  1. Complete Phase 14: Arc Registration
  2. Use Active Directory - ARM Template
  3. Follow the deployment procedure with Azure Local Cloud templates
  4. Proceed to Phase 16: Post-Deployment
PreviousUpNext
Phase 14: Arc RegistrationPhase 15: Cluster DeploymentPhase 16: Post-Deployment

References: