The headline also needs some context. The feature isn't brand new. According to Microsoft's Azure Arc blog on Tech Community, at Ignite 2023, Microsoft announced the public preview of performance dashboards for SQL Server enabled by Azure Arc. The new Azure Updates entry is best read as Microsoft putting the capability back in front of customers, still in preview. It is not a first-ever launch and not a move to general availability. Nothing checked for this article shows what, if anything, changed in the feature alongside this entry. The documentation was last updated June 23, 2026.
What the feature actually does
The idea is simple. Instead of setting up a separate monitoring stack, you open the Azure portal and look at your SQL Server there. Microsoft's documentation says you can monitor SQL Server enabled by Azure Arc by using the performance dashboard in the Azure portal. Performance metrics are automatically collected from dynamic management view (DMV) datasets on eligible instances of SQL Server enabled by Azure Arc. The metrics are then sent to the Azure telemetry pipeline for near real-time processing.
When it first launched, Microsoft described the benefit this way: DBAs and IT Admins now get performance monitoring right from within Azure, with no need to set up and log in to another tool or remotely connect to the SQL Server to run performance queries.
To reach the dashboard:
- Select an instance of SQL Server enabled by Azure Arc.
- Select Monitoring > Performance Dashboard.
You don't need to switch collection on. Monitoring is automatic, assuming that you meet all prerequisites. Keep that in mind if your compliance team is sensitive about outbound telemetry. More on that below.
Section summary: The dashboard is a portal view of DMV-based metrics from on-premises or multicloud SQL Server instances connected through Arc. It has been in public preview since late 2023, and the September 2026 Azure Updates entry does not mark general availability.
Pricing and preview terms
Microsoft is clear about cost for now and vague about later. During the feature preview, monitoring is available for free. Fees for this feature after general availability are to be determined.
The Azure Updates page defines "In preview" as available to all Azure customers for non-production use and testing. The documentation adds that as a preview feature, the technology is subject to Supplemental Terms of Use for Microsoft Azure Previews.
In practice: try it, learn from it, but don't retire your existing production monitoring and alerting because of it. A free preview that later gets a price is common in Azure. Budget owners should treat "to be determined" as an unknown, not as zero.
The prerequisites checklist
This is where most deployments will succeed or fail. Microsoft's documentation lists these conditions:
- Extension version: the Azure Extension for SQL Server (WindowsAgent.SqlServer) is v1.1.2504.99 or later.
- Operating system: SQL Server enabled by Azure Arc is running on the Windows operating system. SQL Server running on Windows Server 2012 R2 and older versions aren't supported.
- Edition: Standard or Enterprise edition.
- SQL Server version: 2016 SP1 or later.
- Network: the server has connectivity to *.<region>.arcdataservices.com.
- Licensing: the license type on SQL Server enabled by Azure Arc is Software Assurance or pay-as-you-go.
- Permissions: you have an Azure role with the action Microsoft.AzureArcData/sqlServerInstances/getTelemetry/. Microsoft names the built-in role Azure Hybrid Database Administrator – Read Only Service Role as one that includes this action.
- Topology: failover cluster instances aren't supported at this time.
Some of these will exclude a lot of servers:
| Your estate | Eligible? |
|---|---|
| SQL Server on Linux, connected through Arc | No. The feature requires Windows |
| Developer, Express or Web edition | No. Standard or Enterprise only |
| SQL Server 2014, or 2016 before SP1 | No |
| SQL Server on Windows Server 2012 R2 | No |
| Instance licensed without Software Assurance and not on pay-as-you-go | No |
| Failover cluster instance (FCI) | Not currently supported |
| Standalone SQL Server 2019 Enterprise on Windows Server 2022, SA licensing, extension up to date, endpoint reachable | Yes |
The licensing rule is the one most likely to catch people out. The dashboard is effectively a benefit for Software Assurance and pay-as-you-go customers. If your Arc-enabled SQL Server resources are registered with a different license type, you won't get the dashboard even if every technical requirement is met.
Section summary: Eligibility is narrow: Windows only, Standard or Enterprise, 2016 SP1 or later, SA or pay-as-you-go licensing, and no FCIs. Check all of these before you open a support ticket.
Troubleshooting: "The command succeeded, so where's my data?"
Microsoft's documentation warns that the CLI command to enable collection might run successfully, but the portal will only collect and show monitoring data if all prerequisites are met. A clean exit code proves nothing, so work through the list:
- Extension version. Confirm WindowsAgent.SqlServer is at v1.1.2504.99 or later on the host.
- Edition and build. Check that the instance is Standard or Enterprise and at least SQL Server 2016 SP1.
- Host OS. Windows Server 2012 R2 and older are unsupported.
- License type. Check the license type on the Arc SQL Server resource. It must be Software Assurance or pay-as-you-go.
- Network path. Confirm that firewalls and proxies allow outbound traffic to
*.<region>.arcdataservices.com. The original 2023 launch post listed a specific endpoint: Azure Extension for SQL Server is able to connect to the endpoint telemetry.<region>.arcdataservices.com. The current documentation uses a wildcard, so allow-lists built from the 2023 guidance may need updating. - RBAC. If the dashboard doesn't appear for one user but works for a colleague, check whether their role includes the
getTelemetryaction. - Topology. If the instance is part of a failover cluster, you've hit a documented limitation.
Turning collection off (or back on)
Because collection starts automatically on eligible instances, the opt-out is the control most admins will care about. In the portal:
- On the resource page for SQL Server enabled by Azure Arc, select Performance Dashboard (preview).
- At the top of the Performance Dashboard pane, select Configure.
- On the Configure monitoring settings pane, use the toggle to turn off or turn on the collection of monitoring data.
- Select Apply settings.
For scripting, Microsoft documents an Azure CLI method that sets the resource's properties.monitoring.enabled value:
az resource update --ids "/subscriptions/<sub_id>/resourceGroups/<resource_group>/providers/Microsoft.AzureArcData/SqlServerInstances/<resource_name>" --set 'properties.monitoring.enabled=false' --api-version 2023-09-01-preview
Change false to true to turn collection back on. Replace the subscription ID, resource group and resource name placeholders with your own values.
What gets collected, and how often
Microsoft lists nine datasets, each collected at its own interval:
| Dataset | Frequency | What it covers |
|---|---|---|
| SqlServerActiveSessions | 30 seconds | Sessions that are running a request, have a blocker, or have an open transaction |
| SqlServerCPUUtilization | 10 seconds | SQL process, other-process, idle and average CPU |
| SqlServerDatabaseProperties | 5 minutes | Database options and other database metadata |
| SqlServerDatabaseStorageUtilization | 1 minute | Storage usage and the persistent version store |
| SqlServerMemoryUtilization | 10 seconds | Memory clerks and memory consumption by clerks |
| SqlServerPerformanceCountersCommon | 1 minute | Batch Requests/sec, page life expectancy, deadlocks/sec, user connections and more |
| SqlServerPerformanceCountersDetailed | 1 minute | Wait time, backup/restore throughput, log growth, version store, XTP memory |
| SqlServerStorageIO | 10 seconds | Cumulative input/output per second (IOPS), throughput, and latency statistics |
| SqlServerWaitStats | 10 seconds | Wait types, categories and wait times |
One limitation stands out: wait statistics can't be visualized on the performance dashboard at this time. Wait stats are one of the most useful tools a DBA has for diagnosing performance problems. They are collected every 10 seconds, but the dashboard doesn't show them yet.
About privacy
Microsoft states that the portal doesn't collect any personal data or customer content. That's a reasonable claim if "customer content" means the rows in your tables. The documented fields still include database names and IDs, machine and instance names, session and connection IDs, and database configuration flags such as encryption, CDC and ledger status. For most organisations that's ordinary operational metadata. If your database names themselves reveal client or project information, include this in your data-residency review before eligible servers start sending it.
The bigger picture: useful, but not a replacement
This is our own analysis, based on general industry practice. The dashboard does make it easier to get a first look at hybrid SQL Server estates. Arc already puts on-premises servers into Azure's inventory, governance and licensing model, and a free, built-in performance view is a sensible next step. It could also persuade some organisations to move SQL licensing to pay-as-you-go through Arc.
There are reasons to be cautious. The documentation describes collection and a dashboard. It does not describe alerting, automated diagnosis or remediation. Wait stats aren't shown, FCIs aren't supported, Linux isn't covered, and there's no pricing after preview. Teams running dedicated SQL monitoring tools will find this useful as an extra view in Azure, but it can't yet replace those tools.
The long preview is itself worth noting. In 2023, Microsoft said it had more functionality on the roadmap to help you better optimize and improve the performance of your SQL Server. Nearly three years later, the feature is still labelled preview, and its biggest gap for DBAs is still wait stats that are collected but not shown.
The bottom line: If you run eligible Windows-based Standard or Enterprise SQL Server instances under SA or pay-as-you-go through Arc, the dashboard costs nothing during preview and may already be collecting data. Check your eligibility, decide deliberately whether to leave collection on, and treat it as a useful preview rather than production-grade monitoring.
References
- (In preview) Public Preview: Performance monitoring for Azure Arc–enabled SQL Server Azure Updates · 2026-09-29T18:11:15Z
- Monitor SQL Server enabled by Azure Arc (preview) learn.microsoft.com
- Performance dashboards for SQL Server enabled by Azure Arc – now in Public Preview | Microsoft Community Hub techcommunity.microsoft.com