When assisting IT Administrators and business managers during the initiation or migration of Reporting & Analytics projects, they often ask us: “How do capacities in Microsoft Fabric work?” or “How can I choose the right one for me?“
This article describes the differences between the capacities in Microsoft Fabric, then analyzes the advantages and disadvantages of the two types of SKUs, concluding with a list of drivers that can be used to guide the choice.
Types of SKUs
Before addressing the types of available SKUs, it’s important to clarify how Microsoft Fabric works: to execute workloads (which include Power BI but also machine learning, data transformation, data analysis, etc.), Microsoft Fabric uses the concept of capacity, understood as the collection of physical resources such as CPU, memory, and storage used to complete the work.
Capacities are divided into Stock Keeping Units (SKUs), where each SKU provides a different amount of computing power, measured based on its capacity unit (CU) value. You can view the number of computing units provided by each SKU in the following table.
Microsoft Fabric operates with two types of SKUs:
- Azure: billed per second and with no commitment.
- Microsoft 365: with monthly/annual billing and a monthly/annual commitment.
Azure SKUs
In Azure SKUs, also known as F SKUs, you can use Azure capacity for as long as desired without any commitment; pricing is area-based, and billing is done hourly with a minimum of one minute.
To purchase an Azure SKU, you must have an active subscription and a role of owner/collaborator at the Azure subscription level.
The service is finalized by following a few simple steps:
- Access the portal and select the Microsoft Fabric service or search for Microsoft Fabric using the search menu.
- Select Create Capacity.
- Provide basic information such as:
- Subscription/Resource Group/Capacity Name and Area
- Size: select the capacity size as indicated in the previous table.
- Finally, indicate the administrator of the infrastructure capacity.
Advantages of Azure SKUs
- Flexible payment based on actual usage, suitable for variable workloads.
- No long-term commitment, ideal for short-term projects or tests.
- Ability to scale resources quickly according to needs.
- Capacity can be suspended and resumed as needed.
Disadvantages of Azure SKUs
- For constant workloads, costs can increase rapidly.
- Difficult to predict and manage costs on an ongoing basis.
Microsoft 365 SKUs
Microsoft 365 SKUs, also known as P SKUs, are Power BI SKUs that also support Microsoft Fabric when enabled.
To view the activation procedure, we recommend this link: for these SKUs, billing is monthly/annual with a monthly/annual commitment.
To purchase Microsoft Fabric with Microsoft 365, the steps are also simple:
- Access the Microsoft 365 Portal.
- Navigate to the Purchase section dedicated to subscriptions or purchases.
- Search for Microsoft Fabric among the available options and select the subscription plan (monthly or annual) that best suits your needs.
Advantages of Microsoft 365 SKUs
- Predictable costs thanks to fixed monthly or annual amounts, facilitating budget planning.
- Potential for reduced overall costs with annual subscriptions that offer discounts for long-term commitments.
- Greater integration and compatibility with other Microsoft 365 services.
Disadvantages of Microsoft 365 SKUs
- Long-term commitments offer less flexibility in reducing or discontinuing use.
- You pay even if resources are not fully utilized.
Final Considerations for Choosing
Based on Workload
- If the workload is variable, Azure SKU may be more suitable.
- If it’s constant, Microsoft 365 SKU offers more predictable costs.
Based on Project Duration
- For short-term or experimental projects, Azure SKU is ideal.
- For long-term operations, Microsoft 365 SKU offers better economic conditions.
Based on Budget and Planning
- The need for a predictable budget may push towards Microsoft 365 SKU.
- For dynamic cost management, Azure SKU is preferable.
Integration
- If you widely use other Microsoft 365 services, the integration offered by Microsoft 365 SKU can be a significant advantage.
Choosing between Azure and Microsoft 365 SKU, therefore, depends on the specific operational, financial, and strategic needs of the company; if you’re having trouble deciding, feel free to contact Blue BI, and we’ll guide you to the best choice!
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